The minutes of the Federal Reserve’s latest meeting revealed an unprecedented division among its members, with one group expressing concern about the slowdown in hiring and the weakness of the labor market, while others warned of renewed inflationary pressures due to the new tariffs.
This division comes amid increasing political pressure from US President Donald Trump, who continues to criticize the Federal Reserve and its chairman Jerome Powell for their reluctance to cut interest rates.
Markets are now awaiting Powell's anticipated speech at the Jackson Hole symposium, which will determine whether the Fed will move towards cutting interest rates to support jobs or remain cautious in the face of inflation.
This scenario puts the US economy at a critical crossroads, where expectations oscillate between supporting growth or curbing prices.
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