2025 Outlook: Will the Fed Raise Rates?
Current inflation at 2.7% increases the odds of a rate hike.
The Fed has previously cut rates to 4.25%-4.5%, but persistent inflation poses a challenge.
The strength of the US economy supports experts’ forecasts of a 40% chance of a rate hike in 2025.
The 2% inflation target could make further cuts difficult without a significant slowdown.
