UBS: The Fed is expected to cut interest rates three times this year and five more times next year

Bhanu Baweja, chief strategist at UBS, expects the Fed to cut interest rates three times this year and five times next year. "We are slightly more concerned about the outlook for U.S. economic growth than consensus, and we are slightly more concerned about global earnings growth than consensus, so our view on the next two years is on the more pessimistic end," Baweja said in an interview. . He said that the market is beginning to price in less than three rate cuts by the Federal Reserve during the year. “We expect three rate cuts in 2024, but what is really different from the consensus is that the market thinks there will be about three rate cuts in 2025, but we expect five rate cuts.” Second-rate".