What is one expectation regarding interest rates by the end of the year?

Interest rates are influenced by various economic factors, including inflation, employment, and the overall economic outlook. The expectation that interest rates will likely reach the range of 2%-2.5% by the end of the year reflects a forecast based on current monetary policy trends and economic indicators.

As central banks may adjust interest rates in response to economic conditions, a range of 2%-2.5% can align with goals to manage inflation while supporting economic growth. This scenario considers that central banks often aim to find a balance that sustains economic activity without igniting excessive inflation.

In contrast, expectations for rates to decrease significantly or be eliminated would imply a very different economic environment, one that suggests major stimulus efforts or drastic economic challenges, neither of which aligns with the more moderate prediction reflected in the correct answer. Additionally, the idea that rates will remain unchanged does not account for potential adjustments that central banks may decide upon based on ongoing economic assessments. Thus, the forecast of reaching 2%-2.5% is a reasonable assessment based on the prevailing economic landscape.