The central bank’s recent infusion of financial-market brawn includes Beth Hammack, who worked for three decades at Goldman Sachs.

As mentioned, mortgage rates haven't fallen in line with the Fed's rate cuts because they depend on factors beyond the agency's benchmark rate, such as the economy and 10-year Treasury bond yields. For example, when the 10-year treasury rate goes up, mortgage rates tend to follow, and vice-versa.

Federal Reserve Governor Christopher Waller said the US central bank could lower interest rates again in the first half of 2025 if inflation data continues to be favorable.

Annual inflation ticked up for a third straight month in December as food, energy costs rose, CPI report showed. But underlying price measure eased.

Traders of interest-rate futures on Wednesday were pricing close to even odds the Federal Reserve will cut interest rates twice by the end of this year, with the first reduction to come in June. Government data showed consumer prices rose 2.

St. Louis Fed President Alberto Musalem suggests greater caution is warranted on reducing interest rates.

Markets continue to expect the Federal Reserve to deliver just one more quarter-point interest-rate cut this year, but there’s a little less certainty than before. There is a 34% chance that the Fed’s key rate finished the year at 4%-4.