Citi pushes back first Fed rate cut forecast to October

Citigroup has delayed its forecast for the first Federal Reserve rate cut to October from its previous expectation of September, Reuters reported. The bank cited a strengthening hawkish stance from the Fed since Kevin Warsh took office as Fed Chair. Citi now anticipates subsequent rate cuts in December and January 2027. The report notes that the latest Fed dot plot indicated nine of the 19 committee members are leaning toward a potential rate hike this year.