The Federal Reserve will likely make two interest rate cuts before the end of 2025, Sam Stovall, chief investment strategist at financial services company CFRA Research, said in an Aug. 18 interview with CNBC.
Stovall said that investors will be watching for the Fed’s statements at the Jackson Hole Economic Policy Symposium on Aug. 21–23. If Fed Chair Jerome Powell says that decisions regarding policy rates will be based on economic data, “we’re looking at the possibility of a slowing employment picture while at the same time maintaining a fairly sticky inflation environment,” he said.
According to Stovall, he is expecting year-on-year core personal consumption expenditures, an inflation gauge used by the Fed, to remain at or above 3 percent through 2025….