J.P. Morgan Chief Strategist: The Federal Reserve may remain inactive this year, inflation may delay its retreat until 2026.

On June 19, David Kelly, Chief Global Strategist at JPMorgan Asset Management, said that the Federal Reserve (FED) may keep interest rates unchanged before the end of this year.

He pointed out that if inflation is expected to rise due to tariffs, it will not subside until 2026. “By the end of next year, the economy should cool down. Inflation should also cool down, and maybe they will give us some lower interest rates. For now, do not hold your breath waiting for The Federal Reserve (FED) to lower interest rates, as they seem to have no intention of providing lower rates.”