[Goldman Sachs Asset Management Expects the Federal Reserve to Cut Rates Twice in 2026]
On November 18, Goldman Sachs Asset Management released its 2026 Investment Outlook report, predicting that the Federal Reserve may cut interest rates twice in 2026 due to a weakening labor market. The report also noted that the European Central Bank is likely to keep interest rates unchanged for the foreseeable future, while the Bank of England may resume rate cuts in December due to improved inflation, a weak labor market, and potential tax increases. High inflation and strong growth in Japan may prompt the Bank of Japan to raise interest rates, with recent political changes and a shift away from loose fiscal policies further supporting this trend.