Expected Rate Cuts 2025 Forecast. In december, the median view projected fewer rate cuts for 2025 than in september, with the federal funds rate expected to stay higher for longer. As a result, the fed recently reduced its forecast for interest rate cuts in 2025.
The federal reserve is expected to cut rates further in 2025, paving the way for slightly lower borrowing costs for consumers. Fed sees fewer rate cuts in 2025: