Reasons why Besant believes the Federal Reserve should cut interest rates

Wallstreetcn
2025.05.02 02:26
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Besenet believes that the Federal Reserve should cut interest rates, citing that the 2-year U.S. Treasury yield (approximately 3.57%) is lower than the federal funds rate (4.25%-4.50%), and the spread continues to widen. The market expects the Federal Reserve to cut rates by 1 percentage point, far exceeding policymakers' estimates, as the economy weakens due to Trump's tariff policy