# Julius Baer Expects December Fed Hike to Be Its Last for Now

By Enna Lee

Canonical URL: https://www.tokenpost.com/news/investing/27011
Published: 2026-10-06T10:27:03.000Z
Updated: 2026-10-06T10:27:03.000Z
Section: Investing

> The bank forecasts a 25-basis-point increase followed by an extended pause, pointing to a cooling U.S. labor market and tighter financial conditions.

Julius Baer expects the Federal Reserve to make one more rate increase this year, with a 25-basis-point move in December followed by an extended pause.

The bank considers December the most likely time for what it expects to be the Fed’s final increase. Its view reflects a cooling U.S. labor market and tighter financial conditions.

Higher long-term Treasury yields and a stronger dollar have driven much of that tightening, Julius Baer said. The bank distinguished those pressures from increases in short-term rates.