On the eve of the FOMC’s December policy meeting, Rabobank analysts said they expect the US central bank to raise policy rates by 50 basis points and see policymakers revise their final rate forecasts to around 5%.
Dot plot shows divergence on eventual rate
“We expect Powell to continue opposing rate cuts in 2023, repeat recovery price Stability will require keeping policy at restrictive levels for some time, and history strongly warns against premature easing.”
Quite likely to show considerable divergence on eventual rates. This is likely to become more prominent by 2023, when a subset of voters becomes more dovish. “
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