Bank of America is weighing an "extreme scenario" where major central banks like the Fed and ECB do not cut interest rates at all in 2024 due to stubbornly high inflation and strong economic growth. Currently, markets are pricing in around 6 rate cuts from the Fed and other central banks starting in the spring, but BofA sees fewer cuts as likely, given inflation and tight labor markets. Recent comments from Fed and ECB officials have also cast doubt on aggressive rate-cutting, pushing up bond yields in response.