Fed Divide Deepens: December Cut in Doubt Amid Inflation Caution.

Fed split on December rate cut due to inflation concerns; data gaps and persistent inflation fuel debate, consensus weakens under Powell.

EcoPulse24 News Desk By EcoPulse24 News Desk Published: 11/22/2025, 06:05:00 UTC Updated: 1/24/2026, 23:00:43 UTC
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Fed Divide Deepens: December Cut in Doubt Amid Inflation Caution.
Fed Split on December Rate Cut Amid Inflation Concerns

Fed minutes from November 19, 2025, reveal a split on last month's quarter-point cut, with many opposing December easing over entrenched inflation risks. Policymakers weighed labor softening against price stability, voting 10-2; dissents favored half-point or no cut.

Shutdown data gaps exacerbate debates. Inflation above 2% target persists, with tariffs adding one-time bumps but potential second-round effects. Williams backs near-term cuts if no wage spirals emerge, lifting odds to 70%. Rates at 3.75-4% remain restrictive. BLS cancels October CPI, delaying Fed insights; September jobs Thursday. Consensus erodes under Powell; 3.5% year-end possible if data softens.

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Edited & Reviewed by the EcoPulse24 Editorial Team 2025-11-22 06:08
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