Fitch: If the rise in oil prices is temporary, the possibility of the Federal Reserve cutting interest rates in June increases

According to Jinshi News, Brian Coulton from Fitch Ratings stated that if the rise in oil prices triggered by the Middle East war proves to be temporary, then a rate cut by the Federal Reserve in June is a realistic possibility. The Federal Reserve today maintained interest rates as expected and indicated that more time is needed to assess the impact of the war on inflation. Coulton believes that if there are no persistent signs of inflation, a weakening labor market will reignite concerns about the risk of rising unemployment, thereby prompting a rate cut in June.