Persistently high inflation makes this reduction a tricky one. The interest rate cut is the first in Trump’s second term as well as the first in 2025.

Data and Financial Journalist
Persistently high inflation makes this reduction a tricky one. The interest rate cut is the first in Trump’s second term as well as the first in 2025.
In an interview with CNBC, Mohamed El Erian’s thoughts seemed to align with Bill Gross’s statements. “I would have hiked earlier and I would have gotten off zero earlier, but it’s easier to say with hindsight,” El-Erian told CNBC. “We know that there was a moment when domestic data was relatively strong and international data was okay. Now, the international data is really scary, and therefore the Fed has lost the opportunity when it had some alignment.”