Bank of America abandons rate cut forecast for this year, postpones first rate cut to the second half of 2027

According to ChainCatcher, the US April CPI increased by 3.8% year-on-year, marking the highest level since May 2023 and exceeding the market expectation of 3.7%. Previously, Bank of America economists stated in a report to clients on May 8 that, due to inflationary pressures remaining persistently above expectations and robust employment growth, they have abandoned their earlier forecasts for rate cuts in September and October this year, and have postponed the first rate cut to the second half of 2027.