Federal Reserve: Higher-for-longer stance maintained – Nordea

Nordea’s Sara Midtgaard reports that the Federal Reserve left its policy rate unchanged and signalled only gradual easing, with one 25 bp cut projected in both 2026 and 2027. Nordea’s Sara Midtgaard reports that the Federal Reserve left its policy rate unchanged and signalled only gradual easing, with one 25 bp cut projected in both 2026 and 2027.… Nordea’s Sara Midtgaard reports that the Federal Reserve left its policy rate unchanged and signalled only gradual easing, with one 25 bp cut projected in both 2026 and 2027. Nordea’s Sara Midtgaard reports that the Federal Reserve left its policy rate unchanged and signalled only gradual easing, with one 25 bp cut projected in both 2026 and 2027. She notes Powell’s emphasis on data dependence and geopolitical uncertainty, and Nordea’s base case that the Fed keeps rates on hold over the next two years with no rush to cut.Fed projects very gradual future easing"The Federal Reserve kept its policy… For traders, releases like this can quickly shift rate expectations, currency direction, index futures and broad risk sentiment. Watch the next move in the dollar, front-end yields and index futures to see whether the market prices this release as a true surprise or only a passing headline.