Goldman Sachs delays Fed rate cut forecast to 2027 due to strong US labor market data
Goldman Sachs has moved its forecast for a Federal Reserve (Fed) rate cut to 2027 due to strong US labor market data. This decision is based on the latest employment reports, which indicate the resilience of the US economy. Goldman Sachs economists had previously forecast an earlier rate cut, but strong labor market data forced the Fed to maintain tight monetary policy. The change in forecast has dampened market expectations for a rate cut in 2026. Goldman Sachs now expects that a rate cut will not occur until 2027. This was reported by Qazaqyia.kz citing Reuters.