Apollo's Slok Says AI Will Dash Warsh's Hopes for Quick Rate Cut

Apollo's Slok stated AI advancements will undermine Warsh's expectations for a rapid interest rate cut. The statement comes from a Bloomberg report on financial policy projections. Slok, a senior economist at Apollo Global Management, emphasized AI-driven economic shifts in the report. Warsh, the U.S. Federal Reserve's vice chair, had previously signaled a possible rate cut in early 2024. The analysis suggests AI will alter inflation and labor market dynamics. The report does not specify a timeline for policy changes.