"Anticipating the Impact: Fed Rate Cuts Expected in 2024 Amid Economic Downturn"

UBS chief US economist Jonathan Pingle predicts the Federal Reserve will cut interest rates below 3% by December 2023, starting with a quarter-point cut in March. This is in anticipation of a mild recession driven by a pullback in consumer spending, leading to a "soggy 2024." Pingle's forecast suggests a more aggressive easing of monetary policy than current market expectations and the Fed's own projections, as he expects a slowdown in the economy and cooling inflation to prompt the Fed to act to prevent worse economic outcomes.