Fed Policymakers Divided on Interest Rates

The Federal Reserve, led by Chair Jerome Powell, is grappling with a contentious debate over monetary policy. Some policymakers advocate for lower interest rates to boost the job market, while others prioritize inflation control. This divide makes it difficult to agree on future policy decisions. Recently, several Fed officials expressed opposition to keeping rates steady, while an equal number opposed another rate cut. Goolsbee, a voting member, supported two rate cuts to prevent further labor market weakness. Despite the government shutdown, he believed the labor market was stable and cooling. The Fed will not receive new inflation data until December, and a comprehensive job market report wont be available until later. Goolsbee values consensus but is not afraid to dissent if his views differ from the majority, highlighting the ongoing internal struggle.The Daily News Now! — Every city. Every story. AI-powered. Hosted on Acast. See acast.com/privacy for more information.