Fed mouthpiece: Growing divisions within the Fed over a December rate cut

Nick Timiraos, the Fed's mouthpiece, says that internal divisions within the Federal Reserve have cast a shadow over the path to rate cuts, a level of disagreement rarely seen during Fed Chairman Powell's nearly eight-year tenure. Officials are divided on whether persistent inflation or a sluggish labor market poses a greater threat, and even resuming official economic data may not bridge the gap. While investors still believe a rate cut at the Fed's next meeting is highly likely, this split has complicated what seemed like a viable plan less than two months ago. (Jinshi)