Top Economists Announce Interest Rate Expectations for 2025! This Month Is Pointed to the First Interest Rate Cut!

This week, two critical data closely followed by Bitcoin (BTC) and cryptocurrency investors, PPI and CPI data, were announced.

Following these data, all eyes turned to the FED interest rate decision to be announced on Wednesday, and the expectation of an interest rate cut increased following the CPI data that came in below expectations.

However, economists are not very hopeful about the Fed's first half. Economists surveyed by Bloomberg News predicted that the Fed would cut interest rates twice in 2025.

According to economists, the Fed will keep interest rates steady for the first half of the year and will begin reducing interest rates in September.

At this point, economists predicted that the FED would leave interest rates unchanged next week, between 4.25% and 4.5%.

Nearly three-quarters of respondents said they see weaker growth in 2025 as a result of the policies he has implemented, citing Trump's decisions as influential in his rate cut estimates.

Scott Anderson, chief U.S. economist at BMO Capital Markets, who participated in the survey, said the Fed is in a very difficult spot right now.

“Uncertainty about the rate and duration of tariffs further complicates the monetary policy outlook. They have the potential to shake monetary policy expectations as well as financial markets.”

*This is not investment advice.