Bank of America Predicts Fed to Hike 75 Basis Points in 2026

Bank of America predicts the Federal Reserve will raise interest rates by a total of 75 basis points in 2026, according to a report based on Reuters. The institution expects rate increases in September, October, and December, marking a shift from its prior forecast of no rate changes for the year. BofA Global Research analysts attribute the prediction to resilient economic data and rising expectations for a hawkish Federal Reserve under incoming Chair Kevin Warsh.
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