Jeremy Siegel, a professor at Wharton University, said he expects job growth to contract for several months later this year and that markets could struggle if the Federal Reserve does not cut rates. The central bank has raised interest rates this month, but has also hinted at the possibility of a pause in rate hikes. For Siegel, a turnaround in the economy may not be enough. “I worry that the Fed will say ‘keep tightening,'” Siegel said on CNBC’s “Halftime Report.” “If jobs go negative, if GDP goes negative. If the Fed doesn’t cut rates, the market will be in a tougher position.” The restrictions will continue in the coming months, Seigel said. He expects that could slow economic activity and cause negative employment growth. Inflation is showing signs of easing. His April consumer price index, released Wednesday, rose 0.4% as expected. However, the 4.9% annualized increase was below expectations and the slowest pace of growth since April 2021. Said. Rising housing costs were one of the factors that pushed the index higher in April, along with gasoline and used cars. Siegel expects the stock market to rise “meaningfully” this year if Fed officials “treat the downturns as rigorously as they have been upsides.” said. In that case, the S&P 500 could give him a 15% total return, he said. But he warned that if the central bank doesn’t act quickly, returns this year will be “dull”, from 5% to 10%.