Rate cut expectations for this year are being scaled back rapidly and analysts at private equity giant Apollo Global Management are even predicting no cuts at all. —Reuters
MURMURS are growing that the Federal Reserve (Fed) might resist cutting interest rates at all this year, as corporate and household balance sheets look to have taken only a glancing hit from rate hikes to date.
While nominal debt levels are high and 500 basis points of cumulative hikes may yet open pockets of distress, companies and households appear to be servicing debts comfortably overall – income streams are holding up and cash piles are earning.
