Nomura: The Federal Reserve's forecast indicates that future inflation may slow down, increasing the likelihood of interest rate cuts

According to Jin Ten, Matthew Parry, Chief Investment Officer of Nomura Asset Management, stated in a memo that the latest data points to a slowdown in inflation and a weak labor market, making another rate cut possible. He noted that the new economic forecasts should reflect a moderation in inflation over the next few quarters, opening the door for another rate cut. Parry also mentioned that the current level of divergence among the Federal Reserve Committee regarding the monetary policy path is greater than ever before.