Fed Officials Split on December Rate Decision, At Least 3 Dissents Expected

Federal Reserve officials are divided on monetary policy ahead of the December meeting, with at least three dissenting votes expected regardless of the outcome, Jin10 reports citing Nick Timiraos. Two factions have emerged: one group, now including four regional Fed presidents with voting rights this year and Fed Governor Barr, prioritizes inflation concerns; another camp, comprising all three Fed governors appointed by Trump, focuses on labor market risks and argues against overemphasizing inflation dangers that could trigger unnecessary recession risks. The three Trump-appointed officials would oppose holding rates steady, while a 25 basis point cut would also draw at least three opposing votes.