The weak incoming data mean that economic growth is on track to slow below its 2% potential pace this quarter. That kills off any remaining prospect of further Fed rate hikes and, with economic growth set to slow further later this year, we think the Fed’s next move will be to cut rates.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services