Organization: The Federal Reserve economic forecasts may not see significant changes.

Harvey Bradley, Co-Head of Global Rates at Insight Investment, said in a report that the Federal Reserve's economic forecasts may remain largely unchanged. The basic forecast is that the Fed will cut rates twice this year, and then further reduce policy rates in 2026, ultimately reaching 3%. This should be driven by economic growth still lagging below trend, and the Fed may describe this landing area as "roughly neutral". However, with initial signs of tariff-related inflation starting to emerge, some officials may adopt a cautious stance. The tensions in the Middle East could further threaten the inflation situation, especially in this regard. It cannot be ruled out that the forecast may change to reflect a rate cut this year.