Summary
Federal Reserve leaders are divided over whether to cut interest rates because of missing government data due to a shutdown. Some leaders want to wait for more information, while others believe they should continue with rate cuts despite the uncertainty.
Key Facts
- There is a disagreement within the Federal Reserve about cutting interest rates next month.
- The debate is partly due to missing government data because of a shutdown.
- Federal Reserve Chair Jerome Powell mentioned the lack of data might make the Fed more cautious.
- Some policymakers compare the situation to driving in fog, suggesting caution but not stopping.
- Fed Governor Christopher Waller argues that the Fed should keep cutting rates despite the data gap.
- The Fed's hawkish members, who worry about inflation, use the lack of data to argue against more rate cuts.
- The division within the Fed reflects broader concerns about the U.S. economy and inflation management.
