However, pre-war wagers for interest rate cuts this year in places such as the US, Britain and oil-rich Norway have gone and won't return, investors say. Fed funds futures, which at the start of the year had priced in two US rate cuts for 2026, imply a barely 50% chance of a single cut. "Rate cuts should be off the table." Even for China, which has long struggled with deflation, global investment banks are removing earlier calls for rate cuts this year. However, with the ceasefire reducing the risk of a global recession, policymakers are leaning away from rate cuts, preferring a mostly wait-and-see stance.

Source: The Edge Markets April 08, 2026 17:16 UTC