Glodon July 30 | Fitch Ratings analysts said the U.S. economy is expected to cool in the second half of the year, with overall real GDP growth expected to slow significantly, but still above recession levels. Fitch said U.S. interest rate hikes are reflected in the labor market and demand, such as weak credit growth and slowing consumer spending. Politics is a major source of uncertainty. While Fitch currently expects the Fed's easing pace to slow slightly in 2024, U.S. inflation and employment data support the view that the Fed may cut interest rates twice in the second half of the year. Fitch noted the upcoming U.S. election, as well as conflicts in Ukraine and the Middle East, and believes that geopolitical risks will continue to exist and tensions will spread to areas such as trade and investment policies.

.