ANZ: The Federal Reserve's rate cut cycle will not be paused for the long term

According to Jinshi News, Brian Martin, head of G3 economies research at ANZ Bank, stated that the Federal Reserve may keep interest rates unchanged in January, but the view that the rate cut cycle will be paused for a long time lacks reasonable basis. He expects the Federal Reserve to lower the federal funds target rate by 25 basis points in March and another 25 basis points in June, bringing the target rate down to 3%-3.25% by mid-year. Martin pointed out that U.S. inflation will gradually ease by 2026.