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Markets Anticipate Fed Rate Hikes

Markets Anticipate Fed Rate Hikes

Economic experts expect the U.S. Federal Reserve to potentially raise interest rates before the end of the year, as the labor market remains strong and inflation persists, despite delaying previous expectations of a rate cut. They indicate that monetary policy may shift toward a neutral stance, with inflation being closely monitored, amid geopolitical tensions such as the conflict with Iran, which could lead to additional inflationary pressures.

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