Goldman's Kaplan: May See Fewer Than Two Fed Cuts Next Year

The transcript discusses the Federal Reserve's decision to adjust interest rates by a quarter point for the third consecutive time. It highlights the challenges and debates surrounding this decision, noting that the rates are now at 4.25% to 4.5%. The discussion also covers the Fed's future projections for rate cuts next year, emphasizing the uncertainty and potential changes due to structural shifts with a new administration. The summary of economic projections is likened to a carton of milk, indicating its short shelf life and the possibility of changes based on unfolding events.

What was the recent decision made regarding interest rates?

• Maintain the current rate

• Decrease by 1/4 point

• Increase by 1/2 point

• Increase by 1/4 point

Why is it unlikely for interest rates to go lower at this point?

• Due to high inflation

• Because of economic growth

• Because of political pressure

• Until there is more improvement in inflation

What is the Federal Reserve's plan for interest rates next year?

• Potentially cut rates

• Keep rates unchanged

• Increase rates significantly

• Raise rates slightly

What is the nature of the economic projections discussed?

• They are fixed and unchangeable

• They are highly speculative

• They are tentative and subject to change

• They are based on past data

What factor might influence the number of rate cuts next year?

• Public opinion

• Economic events as they unfold

• Stock market performance

• International trade agreements