Market analysis: The next window for the Federal Reserve to cut interest rates will be in September

The Federal Reserve has taken a widely expected "wait and see" approach to interest rates as uncertainty around tariffs persists and the U.S. labor market remains strong, according to analyst Matthias Scheiber. From our perspective, the next window for a possible rate cut by the Federal Reserve will be September. We expect the Fed could cut rates twice this year if inflation continues to fall to its 2.0% target. "We expect stock market performance to continue to be volatile and continue to favor the lower-priced segments of U.S. equities, international equities and emerging market equities because of better valuations, more fiscal and monetary stimulus likely to come, and higher valuations for some large U.S. stocks." We remain bullish on the outlook for high-quality bonds given that overall yields remain attractive. "