Market hopes for big cuts this year are unlikely to pan out, Deutsche Bank wrote.
AdvertisementMarkets may find that the anticipated rate-cutting cycle falls short of expectations, Deutsche Bank's George Saravelos wrote on Friday.
Futures markets forecast five to six cuts this year, slashing the fed fund rate by over 100 basis points by the year's end.
That year, the central bank cut rates by 75 basis points, below hopes for a 200 basis point reduction.
We have also written about the US economy's dramatically reduced interest rate sensitivity," Saravelos wrote.
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—, George Saravelos, That's, Saravelos
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