On the eve of the Federal Reserve's two-day policy meeting, Wall Street forecaster Jim Bianco believes the central bank will likely stay on hold until next year.
"I'm in the camp that the Fed does not change policy in the summer of an election year," the Bianco Research president told CNBC's"" on Monday."If they don't pull the trigger by June, then it's November December at the earliest — only if the data warrants it. And, right now, the data isn't warranting it."
For Fed Chair Jerome Powell to cut this spring, Bianco suggests the economy would have to dramatically weaken. "The economy is too strong right now," said Bianco."It's in a no landing phase as we like to call it. It's not a Boeing plane. There's no parts falling off of it, and it's just continuing to move along at probably a 2.5% to 3% pace."at around 3%," he said."That's not 2, and the Fed has made it very clear that they need confidence for going to 2. And, we're not getting that.