The Fed's rate-cut projections are pointing to an imminent recession, economist says

• The Fed's interest rate forecasts signal an imminent recession, economist David Rosenberg says.
• In previous soft landings, the Fed usually cut rates by 75 basis points, but they're forecasting a 150 basis-point reduction by 2025.
• Stock investors are eagerly awaiting the central bank's pivot to looser monetary policy. 

The Federal Reserve's interest rate forecasts are flashing warning signs of a recession just around the corner, top economist David Rosenberg says. 

"The Fed doesn't want to say this explicitly, but it is actually saying (in not so many words) that a recession is very likely coming our way," Rosenberg said in a note on Thursday.

Despite the Fed's optimistic forecast of 2.1% GDP growth and a 4% unemployment rate, Rosenberg sees officials' prediction of a sharp drop in the median federal funds rate as a recession indicator.