US Federal Reserve officials have signaled their focus on inflation returning firmly, with Chair Jerome Powell stating that the central bank’s 2024 inflation forecast has “fallen apart”. The officials’ forecasts indicate only two potential interest-rate cuts next year, suggesting a shift in strategy. This comes as the Fed capped off 2023 with its third-straight rate cut and strongest signal yet that inflation concerns are back at the forefront.
Source: https://www.bloomberg.com/news/articles/2024-12-19/powell-signals-fed-s-focus-has-returned-firmly-to-inflation