PIMCO predicts the Federal Reserve will eventually lower its policy rate to its neutral estimate of 3%.

PIMCO predicts that U.S. headline inflation will accelerate to 4% in the next several months.

PIMCO's core forecast suggests that if energy prices fall, headline inflation could drop below the Federal Reserve's 2% target in late 2026 or early 2027.

Real labor income in the U.S. is currently growing at a rate of approximately 1%.

The recent inflation report's headline number was primarily driven by a surge in energy prices.

PIMCO has lowered its GDP forecasts due to the anticipated impact of higher energy prices on economic growth.

The conflict involving Iran is expected to increase inflation due to its impact on energy costs.

PIMCO has delayed its forecast for when the Federal Reserve will begin cutting interest rates, now expecting a prolonged pause.