No rates cuts in 2024? Why investors should think about the ‘unthinkable’

One major Wall Street bank is weighing in on what it calls “an extreme scenario” in which no Group-of-10 central bank cuts interest rates this year due to sticky inflation, strong economic growth, or fresh shocks that push price gains higher. In a note on Tuesday, Athanasios Vamvakidis, a U.K.-based FX strategist at Bank of America BAC, -1.88% , said it’s worth considering the implication of a seemingly “unrealistic” scenario in which major central banks stay on hold. For now, markets are pricing in about six interest rate cuts from the Federal Reserve and the European Central Bank, starting respectively in March and April; five…