Federal Reserve Faces Internal Divisions Over Rate Cuts

According to Odaily, internal divisions within the Federal Reserve have cast doubt on the path to interest rate cuts, marking an unprecedented level of disagreement during U.S. Federal Reserve Chair Jerome Powell's nearly eight-year tenure. Officials are divided over whether persistent inflation or a sluggish labor market poses a greater threat, and even the restoration of official economic data may not bridge this gap. Despite investors' belief that a rate cut is still likely at the next meeting, these divisions have complicated plans that seemed feasible less than two months ago.