Fed Plans 6 Interest Rate Cuts in 2024 Amid Slowing US Economy

ING Economics predicts that the Federal Reserve will cut interest rates six times in 2024 as the US economy shows signs of slowing down. The rate cuts are expected to start in the second quarter and continue into 2025. Factors such as moderating inflation, a cooling job market, and a deteriorating outlook for consumer spending indicate the need for more rate cuts than currently anticipated. The gradual cuts are seen as a positive sign, suggesting that the economy will remain resilient and avoid a sharp downturn. However, if the economy worsens, the Fed may be forced to cut rates more aggressively.