Morgan Stanley maintains its forecast for Federal Reserve rate cuts in June and September, despite market expectations shifting towards a December cut. Chief U.S. economist Michael Gapen reiterated this outlook during a Bloomberg News roundtable, acknowledging potential delays due to rising oil prices and inflation concerns following the Iran war. Market sentiment has adjusted, with futures now indicating a 60% probability of a 25-basis-point cut in September, down from earlier expectations of a 50-basis-point cut this year. Economists at TD Securities and Barclays have also revised their forecasts, now anticipating the next rate cut in September instead of June.