Fed Divisions Over Rate Cuts

Benzinga

Minutes from the Federal Reserve showed rising resistance to further rate cuts, signaling a potential pause in January as policymakers remain divided over persistent inflation, according to The Wall Street Journal.

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00:00It's Benzinga, bringing Wall Street to Main Street.

00:03The Federal Reserve's December meeting minutes showed growing resistance to further interest

00:07rate cuts, signaling that easing could pause at the January meeting, according to the Wall

00:12Street Journal. Most policymakers supported the December cut, but several said the decision

00:18was finally balanced, while others opposed it due to persistent inflation. Three dissents

00:23highlighted widening divisions within the Fed. Officials said rates could fall further if

00:28inflation declines, but some favored holding rates steady for a period. Inflation data released

00:34after the meeting showed cooling in November, though economists questioned its reliability

00:38due to a government shutdown. Consumer spending has supported growth, unemployment has risen

00:44to 4.6 percent, and futures markets indicate traders expect rates to remain unchanged in

00:50January. For all things money, visit Benzinga.com.

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