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U.S. Economic Forecast: January 2026

U.S. Economic Forecast: January 2026

101 finance101 finance2026/01/15 00:06
By:101 finance

Jerome Powell Nears the End of His Fed Tenure

As the new year unfolds, Jerome Powell approaches the conclusion of his eight-year leadership at the Federal Reserve. Recent months have seen the FOMC divided over the direction of monetary policy, and the Department of Justice's recent subpoenas have only intensified the spotlight and challenges facing U.S. monetary authorities.

With just three meetings left before Powell steps down, what can we anticipate from his final decisions? Our outlook suggests that the Fed will implement one more 25 basis point rate reduction before Powell's departure, followed by an additional 25 basis point cut under the incoming Chair later this summer.

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