Federal Reserve officials show 'polarized' differences on the impact of tariffs and the urgency of interest rate cuts

Odaily Planet Daily News: The Federal Reserve's new economic forecast released this week predicts that economic growth will slow down and inflation will rise. However, policy makers still expect a rate cut later this year - indicating that they do believe tariffs will push up prices, but not in the long run. However, there are significant differences of opinion: among the 19 officials, seven decision-makers believe that there is no need to cut interest rates this year, and eight believe that two interest rate cuts are necessary, which is consistent with investors' views on the Fed's 25 basis point rate cut at its September and December meetings. In addition, 2 people are expected to cut interest rates once, and 2 people are expected to cut interest rates three times. Federal Reserve Governor Waller and Federal Reserve Governor Barkin expressed their views on interest rates after the resolution, with the former suggesting a rate cut as early as July and the latter suggesting that there is no rush to cut rates. Although neither Waller nor Barkin explicitly stated their views on interest rates, they occupy two extremes in terms of the extent to which Trump's tariffs will affect prices, employment, and economic growth in the coming months. (Golden Ten)