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Interpretation of the dot plot: The Federal Reserve will cut interest rates by an additional 50 basis points this year
Jinshi data on September 19th, the median of the Federal Reserve’s dot plot shows that the Federal Reserve will cumulatively cut interest rates by 100 basis points in 2024. After cutting interest rates by 50 basis points in September, there is still an expected cut of 50 basis points. The Fed is expected to cut interest rates by another 100 basis points in 2025, the same magnitude as the expected rate cut in the June dot plot.