Fed's rate cut expectations in March shattered! Goldman Sachs and Bank of America "surrender" and turn their attention to May

Expectations for a rate cut by the Federal Reserve in March have been pushed back to May, as Wall Street economists have abandoned their predictions for a rate cut in March. Federal Reserve Chairman Powell stated that there would be no rate cut until the inflation rate approaches 2%, which caught the market by surprise. Key employment and inflation data are expected to be released before the May meeting, making economists more cautious. Goldman Sachs and Barclays expect the Federal Reserve to cut rates for the first time in May. JPMorgan and Deutsche Bank are calling for a rate cut in the second quarter. Traders have increased their bets on a rate cut in May, with expectations of more than two 25 basis point cuts in June. The probability of a rate cut in March has now dropped to about one-third.