Goldman Sachs No Longer Expects Fed Rate Cuts in 2026, Sees Two in Late 2027

businessmacroeconomics 3 posts · 3 accounts

Goldman Sachs Group Inc. economists no longer expect the Federal Reserve to cut interest rates in 2026, citing a stronger-than-expected labor market. The bank now forecasts two rate cuts in late 2027 instead of an easing window spanning 2026 and 2027.

The revision pushes back Goldman’s expected start to Fed easing by at least a year and points to a more delayed path for lower US rates. The change reflects a view that labor-market resilience will keep the central bank from reducing borrowing costs sooner.

From the sources (3 posts)

@cointelegraph

🇺🇸 LATEST: Goldman Sachs no longer expects the Fed to cut rates this year, citing a stronger-than-expected labor market.

@firstsquawk

Goldman Sachs Now Expects Fed to Deliver Two Rate Cuts in Late 2027 Instead of 2026–2027 Window

@business

Goldman Sachs Group Inc. economists no longer expect the Federal Reserve to cut interest rates this year due to a stronger-than-expected labor market.

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