Will The Fed Cut Interest Rates In May 2024. The federal reserve left its key interest rate unchanged at between 5.25% and 5.5% — the highest level in more than a decade — as annual inflation rates continued to stall. The federal reserve left interest rates unchanged on wednesday and signaled one cut in 2024, with more to come in 2025.

Federal reserve officials said wednesday that while there are signs the economy is slowing, the fed was not yet ready to cut its key interest rate. Overall, the current expectation is that the fomc will start to cut interest rates in 2024.