"Federal Reserve Signals Potential Interest Rate Cuts, Leaving Markets in Suspense"

The Federal Reserve's December meeting minutes suggest that interest rates, currently at their highest since 2001, may have peaked and could see reductions starting in 2024. Despite a recent decline in inflation, there is significant uncertainty about the timing of rate cuts. The Fed has held rates steady but indicates that if the economy evolves as expected, rates could drop to 4.6% by the end of 2024, with further decreases anticipated in subsequent years. The decision reflects improvements in inflation outlooks, although inflation remains above the Fed's target.