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When Will Fed Cut Rates In 2025 Predictions. Central bankers anticipated at least three 25 basis point rate cuts in each of 2024 and 2025. Fed officials predicted that they will cut rates to 3.9 percent in 2025 in their fresh economic estimates โ suggesting that they will make just two rate cuts next year.
Fed officials now estimate theyโll lower the federal funds rate by just half a percentage point next year to a range of 3.75% to 4%,. The fed has cut by a cumulative 1 percentage point since initiating cutting in september 2024.
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