Huatai Securities: It is expected that the Federal Reserve will keep interest rates unchanged at its June meeting.

Huatai Securities research report stated that on the early morning of June 18 (Thursday) Beijing time, the Federal Reserve will announce its decision on the June interest rate meeting. Considering the continued divergence within the Federal Reserve on raising interest rates, it is expected that the Federal Reserve will maintain interest rates unchanged at the June meeting, remove the dovish bias from the statement, and emphasize that future interest rate trends depend on subsequent data. At the same time, it is expected that the Federal Reserve will also lower its 2026 growth forecasts, raise its 2026 inflation and neutral interest rate forecasts, and change the dot plot guidance from a decrease in interest rates by 1 in each in 2026-2027 to maintaining interest rates unchanged.