As the Federal Reserve kicks off its March policy meeting, investors are largely expecting the central bank to hold interest rates steady. George Seay, chairman & founder of Annandale Capital, joined TheStreet to break down why he believes the Fed likely wont slash interest rates until the summer.
Related: Fed’s wait and see approach could create ‘heightened volatility’
Full Video Transcript Below:
GEORGE SEAY: The Fed in March will probably just stand pat. They probably want to look at all the economic data quite extensively into the next several months and into the summer, before they take further interest rate cuts. That’s probably where they’re headed. But right now they’re probably uncertain as to which way to go. So they’re probably going to take a wait and see attitude to things, and I expect them to just stand pat and issue a statement that really says next to nothing. And when do you think we could see the next rate cut? Probably the summer. I mean, the markets are expecting about a 40% chance of three rate cuts this year. So they’ve got to get going at some point. But I don’t think they’re ready to do that yet. I think they’re going to put it off till the summer or later in the year. So I would start looking for it then.
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