BlackRock global chief investment strategist says that rate cut expectations are frothy

<p>I posted yesterday on the view from BlackRock on the 2024 Federal Open Market Committee (FOMC):</p><ul><li><a href="https://www.forexlive.com/centralbank/blackrocks-cio-rieder-says-the-fed-funds-rate-is-too-restrictive-today-sees-mid-24-cut-20231205/" target="_blank" rel="follow" data-article-link="true">BlackRock's CIO Rieder says the Fed Funds rate is too restrictive today, sees mid-24 cut</a></li></ul><p>Rieder's call in that interview was backed up by the firm's global chief investment strategist speaking on Tuesday, US time:</p><ul><li>don't expect the Fed to aggressively cut rates in 2024</li><li>“Market pricing for how early the first cut is, as well as how many cuts there will be next year, is a bit overdone in our view,” </li><li>referred to indicators of market expectations of a rate cut in March and five rate cuts in 2024 …

“That is really aggressive. Something would have to go seriously wrong for that to come through,”</li><li>BlackRock expects at least one rate cut in H2 of 2024</li></ul>

This article was written by Eamonn Sheridan at www.forexlive.com.