Minneapolis Fed President Kashkari Expresses Uncertainty Over December Rate Decision

According to PANews, Minneapolis Federal Reserve President Neel Kashkari has expressed uncertainty regarding the best course of action for the upcoming December meeting, despite not supporting the Fed's previous rate cut decision. On Thursday, Kashkari noted that the resilience of economic activity appears stronger than anticipated based on scattered evidence and data. He suggested that the Fed should have paused rate cuts during the October meeting, as subsequent data indicates that the economic situation has remained largely unchanged. Regarding the December rate decision, Kashkari stated, "I can make a case for a rate cut based on the direction of the data, or I can argue for maintaining the current rates. We will have to wait and see." Following the September meeting, Kashkari had predicted two more rate cuts in 2025, citing a more pronounced economic slowdown at the time. He highlighted reports of low-income borrowers facing difficulties, indicating some vulnerabilities within the labor market. However, he also noted that many companies are performing well financially and hold optimistic views for 2026.