Hey Hey! There’s a lot of news going on in the world, from Iran to the upcoming earnings season, but I wanted to give you a few key points related to the Federal Reserve and Markets as of 3:45pm on 6/24/2025.

Fed & Markets Quick Update

Analyst Summary

Federal Reserve Chair Jerome Powell has indicated potential interest rate cuts later this year as inflation moderates, while also suggesting changes to capital rules to enhance banks' roles in the US Treasuries market.

Key Points

• Summary of Today's News from Central Banks Impacting the US Market

  • John Williams has stated that maintaining a modestly restrictive policy stance is entirely appropriate given current economic conditions.

  • Powell has refuted Jamie Dimon's warning of a backlash in bond markets, stating that Treasury markets are well-functioning.

  • The Federal Reserve is considering a proposal to reduce the enhanced supplementary leverage ratio to bolster banks' roles as intermediaries in the US Treasuries market.

  • BofA Global economists predict that the Federal Reserve could cut its benchmark policy-rate target by 75 basis points starting in September if the economy begins to slow significantly.

  • Powell has indicated that the Federal Reserve anticipates cutting interest rates later this year as inflation continues to moderate.

  • Beth Hammack has stated that interest rates are only modestly restrictive and that officials may keep them steady for some time.

  • Powell has emphasized the importance of maintaining longer-term inflation expectations and preventing a one-time increase from becoming an ongoing inflation problem.