In Reply to: B of A predicts THREE rate HIKES this year posted by russsmith on June 22, 2026 at 16:37:00
3 seems like a lot. I don't see others' saying that.
Here are what other players are predicting.
Other major institutions are generally less hawkish:
Deutsche Bank expects rate hikes but Reuters did not report that it forecasts three hikes; it appears less aggressive than BofA.
J.P. Morgan expects the Fed to remain on hold through 2026 and not hike until 2027.
Goldman Sachs does not expect cuts in 2026 but also does not forecast three hikes; it sees the next moves occurring in 2027.
Most economists surveyed by Reuters expect no change in rates for the remainder of 2026.
Within the Federal Reserve itself, the June dot plot showed a very divided committee:
9 officials projected at least one hike.
6 projected at least two hikes.
One official projected three hikes.
The median Fed forecast was still much less aggressive than BofA's forecast.
The concerning thing is that the pressure against a rate hike isn't that we have inflation under control.
The pressures pulling against a rate hike are slow economic growth, exploding government debt, already high interest rates, and a fragile job market vs increasing inflation rates.