That said, they still do see a recession being the base case scenario for the US economy as opposed to a soft landing. The call comes after the US inflation numbers yesterday, which does allow for the argument that the Fed may need to tighten monetary policy further in the coming months.
Deutsche Bank bumps up Fed terminal rate forecast to 5.6% from 5.1% previously
- The firm sees an additional two more 25 bps rate hikes in June and July
