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Woofun AI reports that CICC has reaffirmed its assessment that the Federal Reserve will neither raise nor lower interest rates throughout the current year. This stance follows the June policy meeting, where the central bank held rates steady, aligning with prevailing market expectations. A notable shift occurred in the monetary policy statement, which underwent significant simplification by removing forward guidance. This structural change is interpreted as an effort to minimize direct intervention in market dynamics.
Despite the current stability, CICC highlights emerging risks for the subsequent fiscal period. The research firm warns that the probability of rate hikes could intensify next year, driven by a continuously strengthening U.S. economy. This divergence between current policy inertia and future inflationary pressures suggests a complex outlook for monetary strategy as economic data evolves.