US Stock Market: UBS pushes Fed rate cut expectations to 2027 on hawkish policy outlook (opens original article in a new tab)

UBS revised its forecast for U.S. Federal Reserve rate cuts, pushing them to 2027 due to a more hawkish policy outlook, with expectations of two 25-basis-point cuts in March and June 2027, while markets anticipate rates to remain unchanged through 2026.

• UBS pushes U.S. Fed rate cut expectations to 2027, forecasting two 25-basis-point cuts in March and June 2027
• UBS anticipates a more hawkish Fed policy than current market expectations, with focus on inflation control
• Markets expect Fed to keep rates unchanged through 2026, with interest-rate futures indicating higher probability of rate increases