Fed Unlikely to Cut Rates in July Amid Persistent Inflation Concerns

Atlanta Federal Reserve President Raphael Bostic indicated that the central bank is unlikely to cut interest rates in July due to slow progress in reducing inflation. Bostic emphasized the need for economic data showing strong economic performance and inflation nearing the Fed's 2% target before considering rate reductions. He anticipates inflation will decrease slowly, potentially reaching the target by 2025. Despite holding rates steady in May, the Fed remains open to future rate hikes if inflation pressures resurface.