John Paulson Predicts US Federal Reserve Rate Cuts by 2025

According to Odaily, billionaire investor John Paulson has forecasted that the US Federal Reserve will reduce interest rates to as low as 2.5% by the end of 2025. Paulson criticized the Fed for being slow in cutting rates and suggested that measures to lower rates will be taken in the coming months. In an interview with Bloomberg Television, he estimated that the federal funds rate could drop to 3%, or even 2.5%, next year. He highlighted that maintaining high real interest rates, which is the difference between bond yields and the current inflation rate, indicates that the Fed is lagging in easing monetary policy. Paulson also emphasized the importance of comments from the President and the Treasury Secretary on economic policy.