Goldman Sachs Forecasts Fed Will Hold Rates Steady Through End of Year

Mary Helen Gillespie

4h ago· 4 min readenNews

finance business central banking economic forecasts

Summary

Goldman Sachs forecasts that the Federal Reserve will keep interest rates unchanged for the remainder of the year, despite some debate among Fed watchers about a potential rate hike in 2026. The June FOMC meeting lacked clear forward guidance, leaving analysts divided. Goldman's base case is that the FOMC will leave the policy rate unchanged, though some policymakers could support a hike depending on upcoming inflation data and job growth.

Source

bskyGoldman Sachs Forecasts Fed Will Hold Rates Steady Through End of Yearbit.ly

Key quotes

· 2 pulled

Goldman Sachs, in a note emailed to TheStreet, said a majority of the policymaking panel could support a rate hike for 'a range of different reasons' depending on upcoming inflation prints and if job growth remains solid.

"Our base case is still that the FOMC will leave the policy rate unchanged this year," Goldman said in the June 17 note

Snippet from the RSS feed

Without forward guidance and a basic tie with the monetary policy forecasts for the rest of the year, the June Federal Open Market Committee meeting left Fed watchers debating whether a rate hike would increase the cost of short-term borrowing costs in 20

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