Huatai Securities Now Expects Three U.S. Fed Rate Cuts in 2024

Nomura Securities revises its forecast, predicting rate cuts in October and December 2024, followed by additional cuts in 2026.

176d ago

Summary

Nomura Securities has updated its outlook for the U.S. Federal Reserve, forecasting a 25 basis point interest rate cut in both October and December 2024, a revision from its previous expectation of a December-only cut. The firm also predicts further rate reductions in March, June, and September 2026.

Terms & Concepts

Basis Point (bps): A unit of measure in finance equal to one-hundredth of a percentage point, often used to describe changes in interest rates.
Rate Cut: A reduction in a central bank’s benchmark interest rate, aimed at stimulating economic activity.
Federal Reserve (Fed): The central bank of the United States, responsible for setting monetary policy, including interest rates.