Fed's Tough Decision: Rate Cut or Hold?
Update: 2025-12-09
Description
The Federal Reserves committee is divided over a potential third interest rate cut, with some members advocating for a hold due to high inflation, while others push for a reduction citing weak hiring and unemployment. This disagreement could result in the most dissenting votes in six years. The committee is also grappling with incomplete federal data due to a government shutdown. Most economists predict a hawkish cut, where rates are reduced but a pause is signaled for future policy adjustments. The focus now is on this weeks decision and the upcoming late January meeting for more comprehensive data on jobs and inflation.
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