Fed may cut rates in mid-2023: Fannie Mae

–The Federal Reserve, in response to a mild recession starting in the first quarter, may soften its fight against inflation and begin cutting the federal funds rate in mid-2023, reversing the most aggressive increase in borrowing costs since the 1980 s, Fannie Mae economists said Monday.– The U.S. economy will shrink 0.5% next year amid weak manufacturing and both…