The Bloomberg natural language processing model analyzes Fed speeches and currently shows FOMC members moving toward a tightening bias, see chart below.
Note how the model never predicted rate cuts in 2024. Instead, Fed sentiment has simply been less hawkish in 2024 than in 2022 and 2023.
The bottom line is that this Fed sentiment model using data back to 2009 shows that Fed communication continues to favor Fed hikes rather than Fed cuts.
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