Morgan Stanley remains firm: the Federal Reserve will not raise interest rates this year, but two major rate hike warnings are emerging

```htmlJinse Finance reported that on June 27, Morgan Stanley maintained its outlook that the Federal Reserve will keep interest rates unchanged until the end of the year. However, the bank warned that if the unemployment rate falls below 4% or inflation remains persistently high, the Fed may be forced to reconsider raising rates. In a report sent to clients, Morgan Stanley's Chief U.S. Economist Michael Gapen stated that data received since the June FOMC meeting made him “slightly more reassured” in the base case for no rate hikes, citing reasons such as a decline in oil prices following the U.S.-Iran memorandum of understanding and expectations that tariff pass-through effects are set to end.```