Fed's Miran Signals Fewer Rate Cuts Through 2026 on Economic Strength

Federal Reserve Governor Stephen Miran has revised his outlook for monetary policy, signaling a less aggressive path for interest rate cuts through 2026. Miran attributed this shift to recent economic data which has reflected a significantly stronger economy than previously anticipated. This hawkish pivot suggests that the central bank may not need to cut rates as deeply as once thought to maintain economic stability. The Governor's comments come as market participants recalibrate their expectations for the Fed's easing cycle amid robust growth figures. Consequently, the prospect of a less accommodative stance is providing support to the US Dollar and Treasury yields. Meanwhile, gold and equity markets may face downward pressure as the 'higher-for-longer' narrative gains renewed traction among policymakers.