Both the inflation and GDP data points raised concerns among economists and renewed
criticism of President Joe Biden among Republicans. “Given the elevated levels of inflation – and this is the new normal for 2024 – the market is going to need to get over hopes for Fed rate cuts,” Chris Zaccarelli, chief investment officer for Independent Advisor Alliance, said in a statement. “Yes, they may cut once (or not at all), but there is no possibility the Fed is going to cut rates 3 or more times, unless we go into recession.”