Fed Minutes Show Most Officials Expect Additional Rate Cuts

A record of the Federal Reserve’s December meeting showed most officials see additional interest rate cuts as appropriate if inflation declines over time as expected. Yet, some officials made clear they believe rates should remain on hold “for some time” after the December gathering. Minutes of the Dec. 9-10 Federal Open Market Committee meeting continued to point to divisions among US central bankers and to the difficulty of their most recent decision. “A few of those who supported lowering the policy rate at this meeting indicated that the decision was finely balanced or that they could have supported keeping the target range unchanged,” the minutes said. Officials earlier this month voted 9-3 to lower their benchmark interest rate by a quarter percentage point for the third straight time, to a range of 3.5% to 3.75%. (Source: Bloomberg)