After this week’s data indicated rising inflation and a strong labor market
Goldman Sachs said it now expects the Federal Reserve to raise interest rates three times this year, by a quarter of a percentage point each time, after data this week pointed to rising inflation and a strong labor market.
A report on Thursday showed that producer prices in January accelerated by the largest margin in seven months, while another report showed that the number of Americans filing new applications for unemployment benefits fell unexpectedly last week.
Financial markets currently estimate that the final interest rate will reach 5.3% by July, according to Reuters.
Most economists polled by Reuters before the latest US data expected the Federal Reserve to raise interest rates at least twice more in the coming months, with the possibility that the increase in interest rates would remain significant, and none of them expected a rate cut this year. .
