JPMorgan pulls forward Fed rate hike forecast to December on credibility concerns

MarketWatch · 12 hours ago
  • JPMorgan's economics team pulled forward their expectation for the next Fed rate hike to as early as December 2026, compared to their prior forecast of the second half of 2027.
  • Economists noted that Fed Chair Kevin Warsh failed to provide forward guidance or explain why the central bank left interest rates unchanged.
  • Warsh cast doubt on whether the Fed will continue using the personal consumption expenditure price index as its primary inflation measure after January.

Quotes

Who knows come after next January, what we might say about strategy. I suspect the task forces might have something to add.Kevin Warsh

Sources