Blackstone Group CEO Stephen Schwarzman has said that he expects the U.S. Federal Reserve to cut interest rates further, as economic conditions continue to evolve and inflation shows signs of easing.
Speaking about the current monetary environment, Schwarzman noted that interest rates remain a key factor affecting investment activity, credit markets, and business confidence. He indicated that additional rate cuts by the Fed could help support economic growth and improve market sentiment, particularly in sectors sensitive to borrowing costs.
The comments come at a time when investors are closely watching the Federal Reserve’s next moves. While inflation has moderated from earlier highs, policymakers are still weighing risks related to price stability and economic slowdown. Some Fed officials have suggested that monetary policy remains restrictive, leaving room for further easing if economic data weakens.
Market participants believe that lower interest rates could encourage increased deal-making, boost private equity activity, and reduce financing pressure on companies. As the world’s largest alternative asset manager, Blackstone stands to benefit from a more accommodative interest-rate environment.
However, uncertainty remains, as future Fed decisions will depend on incoming data related to inflation, employment, and overall economic performance.