Equilibrium

Many people are speculating on when the Fed will begin cutting interest rates. From what I am seeing, it won't be soon. At the moment, the economy has attained a sort of equilibrium. Prices are not rising sharply, but they definitely are still going up. The job market remains healthy with job growth and low unemployment.

I can't say when this will end because I can't predict shocks like wars, pandemics, or natural disasters that would be disruptive. Without those events I expect interest rates to remain the same until price growth declines further or unemployment begins to rise. There may not be any rate cuts this year.