Svmuu News: Due to resilient economic data and rising market expectations of a hawkish stance Federal Reserve under the leadership of new Federal Reserve Chairman Kevin Warsh, Bank of America expects Federal Reserve to raise interest rates by 75 basis points in 2026. The bank expects Federal Reserve to raise rates in September, October, and December, whereas its previous forecast called for rates to remain unchanged this year. Federal Reserve policymakers’ hawkish outlook is driven by a strong labor market and concerns over rising inflation.Analysts at BofA Global Research said that the June Summary of Projections and remarks by Kevin Warsh indicate that Federal Reserve’s policy response is more hawkish than expected. After three rate hikes this year, the firm’s analysts expect Federal Reserve to keep rates unchanged in 2027. (Reuters)