PrintUS Fed's Latest Move Could be Last 'Easy' Rate Cut, ProShares Strategist Says
BY MT Newswires | ECONOMIC | 11/03/25 03:29 PM EST03:29 PM EST, 11/03/2025 (MT Newswires) -- US Federal Reserve Chair Jerome Powell's recent remarks questioning the likelihood of another rate cut in December suggest that the central bank may have reached the end of its "easy" phase of policy easing, according to commentary from Simeon Hyman, global investment strategist at ProShares.
Hyman noted that with inflation hovering around 3%, the Fed funds rate is nearing its "neutral" level of about 4%, meaning further rate cuts will be difficult unless inflation declines further.
Despite the rate cut, 10-year Treasury yields climbed, signaling investor skepticism about how soon inflation will return to the Fed's 2% goal, Hyman added.
Powell emphasized that inflation continues to trend lower, suggesting the economy may be on track for a solid soft landing following the post-COVID-19 inflation surge, Hyman said.
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