Security National Bank private client services team forecasts that The United States (U.S.) will avoid a recession this year; inflation will briefly touch 2.0% before returning to a long-term average of 2.8%. We expect the Federal Funds Target Rate (FFR) to stay at 5.5% through mid-year before a series of rate cuts return it to the neutral level of 3.5% in 2025. The yield curve will remain inverted until the FRB begins easing. We expect the 10-year Treasury to hover around 4.2% for most of the year before ending at 4.5%. We expect earnings for the Standard and Poor (S&P) 500 to post modest growth for several years.
