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Citigroup delays Fed rate-cut forecast to 2027 after strong U.S. jobs report

Citigroup now sees three quarter-point cuts in 2027 as stronger payroll gains and steady unemployment shift attention back to inflation.

Summary by WTVB
Sept 4 (Reuters) - Citigroup on Friday pushed back its forecast for the Federal Reserve's next interest-rate cut to June ​2027 after a stronger-than-expected U.S. ‌jobs report reinforced views that the labor market remains resilient and reduced the nee...

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Citigroup delays Fed rate-cut forecast to 2027 after strong U.S. jobs report

·London, United Kingdom
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While the institution previously expected interest rate cuts in October and December 2026 and January 2027, its new assessment predicts the first cut will occur in June 2027. According to Citi's new forecast, the Fed will...

Citigroup has significantly postponed its expectations regarding Federal Reserve interest rate cuts following strong employment data in the US. The bank announced that it now expects the Fed to make its next 25 basis point interest rate cut in June 2027. According to Citigroup's new forecast, the Fed is expected to implement three separate 25 basis point interest rate cuts in June, September, and December 2027. Citi previously predicted cuts in …

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WTVB broke the news on Friday, September 4, 2026.
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