00:00It's Benzinga bringing Wall Street to Main Street.
00:02Goldman Sachs now expects the Federal Reserve to hold interest rates steady through 2026
00:07and delay cuts until 2027, citing stronger economic activity and job growth following
00:13a robust payrolls report, according to Reuters. The brokerage shifted its rate cut forecast to
00:19June and December 2027, pushing back from previously expected reductions in December
00:232026 and March 2027. Goldman joined Nomura, which last month also forecast the Fed would
00:31stay on hold through 2026. Goldman said the most likely Fed path is delaying cuts until
00:36tariff effects, higher oil prices tied to the Iran conflict, and other war-related pressures
00:41fade, and until core PCE inflation nears the 2% target. Traders currently price in a 75.5%
00:50probability of rate hikes by year-end, per the CME FedWatch tool. For all things money, visit
00:55Benzinga.com.
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