BlackRock: Fed’s Rate Cuts in 2026 May Be Limited

2025-12-272025-12-24 by admin

BlockBeats news, December 24, BlackRock strategists Amanda Lynam and Dominique Bly stated in a report that the Federal Reserve is expected to implement only limited interest rate cuts in 2026. With a cumulative reduction of 175 basis points in this cycle, the Fed is approaching a neutral interest rate level. Unless there is a sharp deterioration in the labor market, there is quite limited room for further rate cuts in 2026.

According to LSEG data, the market currently expects the Federal Reserve to conduct two interest rate cuts in 2026. (Jin10)

PANews reported on December 31 that Tom Lee, co-founder of Fundstrat and chairman of BitMine, wrote on the X platform: "Typically, during these last holiday trading sessions, many institutional investors exit the market, and algorithmic trading programs and bot trading programs begin to dominate the market, along with sell-offs for tax avoidance. These constitute the market dynamics in the last few days of December." Previously, in BitMine's announcement of acquiring 44,463 ETH last week, Tom Lee mentioned that market activity tends to slow down as the year enters its final weeks of holiday season. Year-end tax-avoidance selling depresses cryptocurrency and cryptocurrency-related stock prices, with this effect typically most pronounced between December 26th and December 30th; therefore, they are adjusting their market strategy accordingly. Earlier today, it was reported that Bitmine pledged another 118,944 ETH and increased its holdings by 32,938 ETH .