Federal Reserve Interest Rate Cuts Coming Soon?
In April 2025, the Federal Reserve maintains the federal reserve interest at 4.25%–4.50%, reflecting economic resilience and inflation moderation rather than aggressive monetary easing. Are Federal Reserve Interest Rate Cuts Coming Soon? Officials are still emphasizing that although rate cuts are a possibility this year, that depends on clearer evidence that inflation is moving consistently toward the 2 percent target. Market participants have significantly cooled expectations for early or frequent cuts. Inflation Is Still the Deciding Factor Previous hopes for a rapid disinflation process were dashed by the January and February CPI data , which confirmed inflation at or above 3%, underpinned by stubborn shelter rents, wages, and price pressures in services. Goods inflation has slowed, but overall price pressures have proven more stubborn, raising questions about any imminent shift. Core inflation is also running hot, keeping policymakers on alert. FedCLR: Fewer, Later Cur...