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Analysts at Citi Research expect the Fed to start a large-scale interest rate cut in the coming months, continuing until next summer.
In a statement last Friday, the bank cited new signs of economic slowdown and believed that the Fed will cut interest rates by 25 basis points at each meeting starting from September, with a total of eight cuts until July 2025, which will drop the Benchmark Interest Rate by 200 basis points, i.e. from the current range of 5.25%-5.5% to 3.25%-3.5%, and remain unchanged for the rest of 2025.