Analysis: The Fed may actually cut interest rates next year, and interest rates are expected to fall slightly by the end of the year

Odaily News Brendan Murphy, head of fixed income at Insight Investment, pointed out in a report that U.S. interest rates may decline slightly before the end of this year, but substantial rate cuts will occur next year. Although the economic outlook is weakening, inflationary pressures from recent U.S. trade tariffs will complicate the Feds policy response. Against this backdrop, the Fed is expected to take a cautious approach. The agency expects that the Fed will take more decisive interest rate cuts after inflationary pressures ease and growth concerns become the dominant factor in 2026. (Jinshi)