Fed Cutting Rates In September Would Be A ‘Policy Mistake’, Warns Bank Of America: Report

According to a report by CNBC, BofA economist Claudio Irigoyen said in a recent note that there is a supply-driven slowdown in the labor market and that inflation remains above the central bank’s 2% target.

Bank of America reportedly warned on Wednesday that if the Federal Reserve rushes to cut interest rates in September, it could be a “policy mistake,” based on the current macroeconomic data.

According to a report by CNBC, BofA economist Claudio Irigoyen said in a recent note that there is a supply-driven slowdown in the labor market, and inflation remains above the central bank’s 2% target. Irigoyen highlighted that a rate cut based on these factors is “unwarranted.”

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