Analyst: The Federal Reserve is Unlikely to Cut Interest Rates Soon

Tim Murray, a strategist at Puxin Group, stated that the Federal Reserve will continue to hold steady until uncertainties related to tariffs dissipate or there is a significant deterioration in the labor market. Murray does not expect a "Fed put" in the short term, meaning the Federal Reserve will not cut rates to rescue the market. Policymakers at the Federal Reserve know that lowering rates is not a good solution to uncertainty. Considering the risk that tariffs will drive up inflation, the Federal Reserve is also reluctant to cut rates. Murray expects the Federal Reserve to stick to its data-dependent approach, avoid providing forward guidance, and refrain from sending any "political messages."