The Fed delivers a rare ‘hawkish cut’ as Powell tries to steady a softening job market

FortuneWednesday, December 10, 2025 at 7:11:36 PM
The Fed delivers a rare ‘hawkish cut’ as Powell tries to steady a softening job market
  • The Federal Reserve has implemented a rare ‘hawkish cut’ in interest rates as Chair Jerome Powell seeks to stabilize a softening job market, amid significant internal dissent among officials. Three members of the Fed expressed differing opinions on the decision, highlighting the divisions within the central bank regarding its monetary policy direction.
  • This development is critical as it reflects the Fed's ongoing struggle to balance economic growth with inflation control, particularly in light of a labor market that shows signs of weakening. Powell's leadership is under scrutiny as he navigates these challenges.
  • The decision comes at a time of heightened scrutiny of the Fed's policies, with external pressures from political figures and market reactions indicating a complex landscape. The ongoing debate about interest rates and the potential for future cuts underscores the uncertainty surrounding economic recovery and the Fed's role in shaping it.
— via World Pulse Now AI Editorial System

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