Wells Fargo expects U.S. rate hikes to quell rampant inflation

(NYSE: WFC) Expects steeper Fed rate hikes, Wall Street Bank economists said in a report on Tuesday This is due to the resilience of the US economy and the increased determination of the central bank to eliminate inflation. They had predicted earlier – between now and early next year Rate hikes, but the FOMC is now expected to raise rates by about

bps. The Fed has hiked rates significantly

year-to-date basis points and sees it increase End of interest cycle 200 In; 4.%-4.11%,because It is struggling to quell the highest bout of inflation since

s. Analysts expect target range will reach 4.11%-5. % as of Q1), including bps rate hike and at the Nov. 2 meeting December bps increase Policy Meeting. “The economy is showing signs of resilience, which will require more monetary tightening to slow growth sufficiently to bring inflation back to the Fed’s target of 2 %,” said analysts led by chief economist Jay Bryson. “Our updated forecast for the federal funds rate also reflects the Fed’s A clear willingness to control inflation “whatever it takes”. ” Fed Funds Futures means % chance is November basis point rate hike, the benchmark rate peaked at around 4.5% at the beginning of the year 100.[FEDWATCH]

Last week, Goldman Sachs (NYSE:

GS

), 200282 Barclays (LON:

BARC

) and a group of investment banks also raised their estimates on US policy rates following a hawkish Fed message in September. expected.

FOMC at the beginning No rate cut, Wells Fargo analysts added that this is a sign of economic weakness. They expect a U-turn in Fed policy only by the end of next year. 100