The Federal Reserve, led by Chair Jerome Powell, has announced plans for three interest rate cuts in 2024, aiming to manage inflation while sustaining economic growth. Despite recent inflation spikes, the Fed projects a 2.1% growth rate for the year, exceeding long-term potential.
Unemployment is expected to remain low at 4%, and inflation is forecasted to decrease gradually. Powell emphasized a cautious approach to ensure a smooth transition from high inflation levels, maintaining confidence in the economy's resilience.