UBS: Fed Rate Cut May Be Delayed Until September, Followed by Another Cut in December

BlockBeats News, March 26th. UBS has stated that due to ongoing inflation and geopolitical risks, the Federal Reserve is expected to postpone interest rate cuts until September, with another potential cut to follow in December.

Economist Andrew Dubinsky pointed out that the Fed is waiting for clear evidence of a significant decrease in inflation. Currently, the core personal consumption expenditure is still around 3%, partly due to the impact of tariffs.

Influenced by the rise in oil prices due to Iran-related factors and the stability of the labor market, the Fed is maintaining a "wait-and-see" stance. UBS expects economic conditions to improve in 2026, but the timing of interest rate cuts still remains uncertain.