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After last week’s quarter-point interest rate hike amid a meltdown in the banking sector, all eyes are on the Fed’s next move.
But Wall Street experts are divided about what exactly that move might be — and whether, after nine consecutive rate hikes, rate cuts might be coming this year.
It’s not clear which approach will serve the economy best. Higher interest rates slow down economic growth, which is important when the economy is overheating and consumer prices are rising too fast — like they have been for more than a year, with above-average inflation.
