Fed done raising rates; risk is for expected Q2 cut to be delayed – Reuters poll

The U.S. Federal Reserve will hold its federal funds rate steady through most of the first half of next year, according to the latest Reuters poll of economists who appear settled on the risk of the first reduction coming later than they expect. As widely predicted, the central bank left the fed funds rate in a 5.25%-5.50% range for a second consecutive meeting last week and kept the door open to another hike, although apparently with less conviction than before. "In our base case, the Fed is done hiking, inflation will remain above target and rates will remain elevated across the curve," said Andrew Hollenhorst, chief U.S. economist at Citi.