75 Basis Points Cut or Less in 2025

The Federal Reserve released the minutes from the December monetary policy meeting. The Federal Open Market Committee (FOMC) minutes for December 17-18, 2024, indicate that in the context of rising inflation risks, Federal Reserve officials are adopting a new easing stance and plan to slow the pace of interest rate cuts in the coming months.

The minutes show that the Federal Reserve decided to lower the target range for the federal funds rate by 25 basis points, bringing the benchmark funds rate to a range of 4.25%—4.5%. This marks the Federal Reserve's third consecutive rate cut, with a cumulative reduction of 1 percentage point. However, committee members expect that the pace of rate cuts in 2025 will slow significantly, with only a 75 basis points cut expected for the entire year. Market futures prices indicate that the level of policy easing in 2025 may be slightly lower than this expectation. #美国非农数据即将公布