Expected Rate Cuts In 2025. Money markets are already pricing in a full percentage point of rate cuts by the ecb in 2025, which would bring the deposit facility rate to 2%—its lowest level since january 2023. The federal reserve cut interest rates as expected, but the future path of borrowing costs became more.
After more than a year of the reserve bank of australia (rba) keeping its cash rate target on hold at 4.35 per cent, forecasts are for at least one 0.25 of a percentage point cut in 2025. As for when the fed’s predicted rate reductions will arrive, markets are betting we’ll be waiting several months before.
