BlackRock investment officer: The Fed has room to cut interest rates twice this year

Rick Rieder, Chief Investment Officer for Global Fixed Income at BlackRock, believes that bond investors who have been struggling with rising yields over the past month may soon find some comfort in slowing inflation and the Federal Reserve. With inflation expected to slow in the coming months, the Fed is expected to cut interest rates twice this year. "It's becoming increasingly difficult for them to do so, but I still think they can," Rieder said. BlackRock has reduced its exposure to interest rates and is now focusing more on short-term investments. Once they see a few good inflation reports and evidence of slowing employment, they can start to extend their investment horizon.