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Currently, there are 2 cuts priced in for 2025,” says Chris Zaccarelli, Chief Investment Officer for Northlight Asset Management.The US Fed’s expected 25 basis point reduction in benchmark rates, resulted in a negative market reaction.
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However, Powell and the team do not look confident regarding inflation and the economy in 2025.“The indication of only two rate cuts in 2025, down from the previously expected four, has negatively surprised the markets.
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