Institutional analysis: US economic fundamentals show no need to rush to cut interest rates

Paul Eitelman, Chief Investment Strategist for North America at Russell Investments, said that due to the strong US economy, the next rate cut by the Federal Reserve is unlikely to come before May or June.

"We believe that the US economy is solid as households, businesses, investors, and the Federal Reserve all face extreme policy uncertainty." Federal Reserve Chairman Powell explicitly stated that more clear information will be awaited before cutting rates again, "setting the stage for the next rate cut in May or June." Eitelman said that the macroeconomic fundamentals show resilience in economic growth and a slowdown in inflation, supporting the case for two to three rate cuts later this year.