Goldman Sachs: No longer expects the Federal Reserve to cut interest rates this year due to a strong labor market
By: rootdata|2026/06/07 20:45:00
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According to Jinshi reports, Goldman Sachs economists stated that due to a stronger-than-expected labor market, they no longer expect the Federal Reserve to cut interest rates this year. The bank has pushed back the expected timing of the last two rate cuts from December 2026 and March 2027 to June and December 2027. Goldman Sachs' Chief U.S. Economist Jan Hatzius pointed out that although the likelihood of a rate hike is low, the probability of a small rate increase has been raised from 10% to 20%. Goldman Sachs also revised its forecast for the U.S. unemployment rate this year from 4.6% to 4.4%.
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