Gelonghui, December 19 | Alvin Liew, a senior economist at UOB, wrote in a report that the Federal Reserve may lower interest rates by 75 basis points next year. He noted that the Fed's hint at a potential slowdown in easing is not surprising, but the market was shocked by the reduction in future rate cut expectations. UOB stated that the decrease in the anticipated number of rate cuts reflects expectations of increased inflation pressure from potential trade tariffs imposed by the Trump administration. UOB maintains that the Federal Reserve will cut rates three times next year until Trump's policies become clearer in early 2025.