Citi: Citi maintains its estimate of the Fed's rate cut this year at 125 bps.

Citi reportedly maintained its estimate for the Fed's rate cuts this year at 125 basis points, and in addition, the bank expects more 25-basis-point cuts in 2025, pushing the terminal rate to a range of 3%-3.25%.

Elsewhere on Wall Street, other brokers such as Macquarie and Deutsche Bank retained expectations for two more 25 basis point cuts from the Fed this year. The Morgan Stanley team, which includes economist Seth Carpenter and strategist Matthew Hornbach, said officials may opt to implement a series of regular rate cuts (25 basis points) by mid-2025, with two cuts this year and four in the first half of next year.