After Goldman Sachs, JP Morgan expects 4 rate hikes from the Fed

Jamie Dimon, CEO of JP Morgan Chase, said that the Fed can control inflation through interest rate hikes without severely shaking the economy. Dimon said, "If we're lucky, the Fed can slow inflation and achieve a soft landing. The steps will be a bit like threading a needle." Stating that there is still the possibility that inflation will be worse than the Fed thought, Dimon emphasized that the Fed may need to increase interest rates more than expected. CEO of JP Morgan Chase, Jamie Dimon said, "I would personally be surprised if there are only 4 rate hikes.”And added, "4 interest rate hikes of 25 basis points each is a very small amount and it would be very easy for the economy to absorb it."

Goldman Sachs expects four rate hikes from the Fed in 2022

According to Goldman Sachs Group Inc., the US Federal Reserve will most likely raise interest rates four times this year and will start shrinking its balance sheet by July at the latest. In the research note written by Jan Hatzius, it was reported that the recovery in the US labor market and the hawkish signals in the minutes of the Fed meeting on December 14-15 point to a faster normalization. Hatzius said, "As the risks point to an earlier period than before, we are reducing our balance sheet reduction forecast from December to July. At this point, inflation will most likely be far above the target. We added December to the interest rate hikes we expect to see in March, June and September.”