<!DOCTYPE html>
<html lang="en">

<head>
    <meta charset="utf-8">
    <meta name="viewport" content="width=device-width, initial-scale=1.0">
    <title>Powell signals Federal Reserve to move slowly on interest rate cuts</title>
    <link rel="stylesheet" href="../css/style.css">
        <meta name="description"
        content="Fed Chair Jerome Powell signaled a cautious approach to interest rate cuts, suggesting the Federal Reserve will move slowly to avoid fueling inflation">
    <meta property="og:title" content="Powell signals Federal Reserve to move slowly on interest rate cuts">
    <meta property="og:description"
        content="Fed Chair Jerome Powell signaled a cautious approach to interest rate cuts, suggesting the Federal Reserve will move slowly to avoid fueling inflation">
    <meta name="keywords" content="Jerome Powell">
    <meta property="og:url" content="https://www.policynow.org/a-top-federal-reserve-official-says-dour-jobs-data-backs-the-case-for-three-rate-cuts">
    <meta property="og:image" content="https://www.policynow.org/image/twitter-card.png">
    <meta property="og:site_name" content="">
    <meta property="og:image:width" content="1200">
    <meta property="og:image:height" content="630">
    <meta property="og:type" content="website">
    <meta property="og:locale" content="en_US">
    <!-- Twitter Card Meta Tags -->
    <meta name="twitter:card" content="summary_large_image">
    <meta name="twitter:title" content="Powell signals Federal Reserve to move slowly on interest rate cuts">
    <meta name="twitter:description"
        content="Fed Chair Jerome Powell signaled a cautious approach to interest rate cuts, suggesting the Federal Reserve will move slowly to avoid fueling inflation">
    <meta name="twitter:url" content="https://www.policynow.org/a-top-federal-reserve-official-says-dour-jobs-data-backs-the-case-for-three-rate-cuts">
    <meta name="twitter:image" content="https://www.policynow.org/image/twitter-card.png">
    <meta name="twitter:site" content="@policynow">
    <meta name="twitter:creator" content="@policynow">
    <link rel="icon" type="image/x-icon" href="https://www.policynow.org/image/favicon.png">
    <link rel="canonical" href="https://www.policynow.org/a-top-federal-reserve-official-says-dour-jobs-data-backs-the-case-for-three-rate-cuts">
    <script type="application/ld+json">
{
  "@context": "https://schema.org",
  "@type": "NewsArticle",
  "mainEntityOfPage": {
    "@id": "https://www.policynow.org/a-top-federal-reserve-official-says-dour-jobs-data-backs-the-case-for-three-rate-cuts"
  },
  "headline": "Powell signals Federal Reserve to move slowly on interest rate cuts",
  "image": [
    "https://www.policynow.org/image/twitter-card.png"
  ],
  "datePublished": "2025-11-17T08:28:00-04:00",
  "dateModified": "2025-11-17T08:28:00-04:00",
  "description": "Fed Chair Jerome Powell signaled a cautious approach to interest rate cuts, suggesting the Federal Reserve will move slowly to avoid fueling inflation",
  "author": {
    "@type": "Person",
    "name": "Editorial Board"
  },
  "publisher": {
    "@type": "Organization",
    "name": "policynow",
    "logo": {
      "@type": "ImageObject",
      "url": "https://www.policynow.org/image/policynow-logo.png"
    }
  },
  "keywords": ["Federal Reserve", "interest rate cuts", "Fed policy", "monetary policy", "inflation", "U.S. economy", "rate decision", "Fed chair", "economic outlook", "central bank", "interest rates", "financial markets", "economic policy", "rate cut pace"]

}
</script>
</head>

<body class="light-mode">
<?php include '../header.php'; ?>

    <div class="main-container">
        <div class="date-row">
            <div class="day">
                <strong><?php
echo date("l, F j, Y"); 
?></strong>
            </div>

            <div class="top-center">
                <a href="../main.php"><img src="../image/policynow-logo.png"
                    alt="Logo"></a>
            </div>
            <div class="top-right"> 
                <img src="../image/search.png" class="menu-toggle" alt="search" width="16" height="16">
                <div  class="search-box" id="searchBox">
                    <input type="text" placeholder="Type & hit enter">
                     <img  src="../image/search.png" class="menu-toggle1" alt="search" width="16" height="16">
                </div>
                <img class="menu-toggle" src="../image/facebook.png" alt="facebook" width="16" height="16">
                <img class="menu-toggle" src="../image/twitter.png" alt="twitter" width="16" height="16">
                 <img class="menu-toggle" src="../image/youtube.png" alt="youtube" width="16" height="16">
            </div>
        </div>
        <nav class="main-nav1">
            <a title="Politics & Policy" class="nav-H" href="../politics-and-policy.php">Politics & Policy</a>
            <a title="Business & Economy" class="nav-l" href="../business-and-economy.php">Business & Economy</a>
            <a title="Global Affairs" class="nav-l" href="../global-affairs.php">Global Affairs</a>
            <a title="Technology & Innovation" class="nav-l" href="../technology-and-innovation.php">Technology & Innovation</a>
            <a title="Finance & Markets" class="nav-l" href="../finance-and-markets.php">Finance & Markets</a>
            <a title="Featured PR" class="nav-l" href="../featured-pr.php">Featured PR</a>
            <a title="Author" class="nav-l" href="../author.php">Authors</a>
        </nav>

    </div>
      <div class="main">
          <section class="highlight-news">
            <div class="highlight-category">
                <a title="Business & Economy" href="#">Business & Economy</a>
            </div>
            <div class="live-sect">
                <span class="live-status">
                    <span class="dot"></span>

                </span>
                <p> <span class="live-badge">LIVE</span>
                    7 days ago</p>
            </div>
            <h1 class="highlight-title">Powell signals Federal Reserve to move slowly on interest rate cuts</h1>
<p class="content-para">Federal Reserve Chair Jerome Powell on Tuesday signaled a cautious approach to future interest rate cuts, in sharp contrast with other Fed officials this week who have called for a more urgent approach.</p>


            <div class="highlight-footer">
                <div class="author-blocks">
                    <div class="author-card">
                        <img src="../image/bank-of-england.webp"
                            alt="Claire Payne">
                        <div class="author-info">
                            <a title="CLAIRE PAYNE" href="#">CLAIRE PAYNE</a>
                            <span>JANUARY 8, 2025</span>
                        </div>
                    </div>
                    
                </div>

                <div class="share-block">
                    <span>Share this</span>
                    <div class="share-icons">
                        <a title="facebook" href="#" class="social-icon">
                            <img class="menu-toggle" src="../image/facebook.png" alt="facebook" width="16" height="16">
                        </a>
                        <a title="twitter" href="#" class="social-icon">
                            <img class="menu-toggle" src="../image/twitter.png" alt="twitter" width="16" height="16">
                        </a>

                        <a title="youtube" href="#" class="social-icon">
                            <img class="menu-toggle" src="../image/youtube.png" alt="youtube" width="16" height="16">
                        </a>
                    </div>
                    <div class="share-single">
                        <button>
                            <a title="more" href="#"><i class="fa-solid fa-share-nodes"></i></a>
                        </button>
                    </div>
                </div>
            </div>
        </section>
        <div class="img-section">
            <img src="../image/powell-signals-federal-reserve.webp"
                alt="Image">
        </div>


        <div class="second-sec">

<p class="content-para">In remarks in Providence, Rhode Island, Powell noted that there are risks to both of the Fed’s goals of seeking maximum employment and stable prices. But with the unemployment rate rising, he noted, the Fed agreed to cut its key rate last week. Yet he did not signal any further cuts on the horizon.</p>

<p class="content-para">If the Fed were to cut rates “too aggressively,” Powell said, “we could leave the inflation job unfinished and need to reverse course later” and raise rates. But if the Fed keeps its rate too high for too long, “the labor market could soften unnecessarily,” he added.</p>

<p class="content-para">Powell’s remarks echoed the caution he expressed during a news conference last week, after the Fed announced its first rate cut this year. At that time he said, “it’s challenging to know what to do.”</p>

<p class="content-para">The careful approach he outlined is quite different from that of some other members of the Fed’s rate-setting committee, particularly those who were appointed by President Donald Trump, who are pushing for faster cuts. On Monday, Stephen Miran said the Fed should quickly reduce its rate to as low as 2% to 2.5%, from its current level of about 4.1%. Miran was appointed by Trump this month and rushed through the Senate, taking his seat just hours before the Fed met last Tuesday. He is also a top adviser in the Trump administration and expects to return to the White House after his term expires in January, though Trump could appoint him to a longer term.</p>

<p class="content-para">And earlier Tuesday, Fed governor Michelle Bowman also said the central bank should cut more quickly. Bowman, who was appointed by Trump in his first term, said inflation appears to be cooling while the job market is stumbling, a combination that would support lower rates.</p>

<p class="content-para">When the Fed cuts its key rate, it often over time reduces other borrowing costs for things like mortgages, car loans, and business loans.</p>

<p class="content-para">“It is time for the (Fed) to act decisively and proactively to address decreasing labor market dynamism and emerging signs of fragility,” Bowman said in a speech in Asheville, North Carolina. “We are at serious risk of already being behind the curve in addressing deteriorating labor market conditions. Should these conditions continue, I am concerned that we will need to adjust policy at a faster pace and to a larger degree going forward.”</p>

<p class="content-para">Yet Powell’s comments showed little sign of such urgency. Other Fed officials have also expressed caution about cutting rates too fast, reflecting deepening divisions on the rate-setting committee.</p>

<p class="content-para">On Tuesday, Austan Goolsbee, president of the Federal Reserve’s Chicago branch, said in an interview on CNBC that the Fed should move slowly given that inflation is above its 2% target.</p>

<p class="content-para">“With inflation having been over the target for 4 1/2 years in a row, and rising, I think we need to be a little careful with getting overly up-front aggressive,” he said.</p>

<p class="content-para">Last week the Fed cut its key rate for the first time this year to about 4.1%, down from about 4.3%, and policymakers signaled they would likely reduce rates twice more. Fed officials said in a statement that their concerns about slower hiring had risen, though they noted that inflation is still above their 2% target.</p>

<p class="content-para">In a question and answer session, Powell said that tariffs, so far, have had a fairly limited impact on inflation, though he suggested that could change.</p>

<p class="content-para">He said U.S. companies are paying most of the tariffs, which contradicts Trump administration claims that overseas companies are shouldering the payments. But he said that the pass-through of tariff costs to consumers “has been later and less than we expected.”</p>

<p class="content-para">He also said the Fed continues to tune out attacks against it and added that the Fed does not consider politics when making its decisions. Powell and the Fed have been under steady attack from Trump, though Powell did not name him.</p>

<p class="content-para">“Whenever we make decisions, we’re never, ever thinking about political things,” Powell said. “Truth is, mostly people who are calling us political, it’s just a cheap shot. We don’t get into back and forth with external people.”</p>

          
        </div>
      </div>

    <!-- Blog Section -->
    <section class="latest-blog-wrapper">
        <h2 class="latest-blog-title">LATEST FROM BLOG</h2>

 <div class="latest-blog-grid">
            <!-- Blog Item 1 -->
            <a title="more" href="../business-and-economy/federal-reserve-likely-to-cut-key-rate-wednesday-and-may-signal-another-cut-to-follow.php" class="blog-card">
                <div class="blog-thumb">
                    <img src="../image/federal-reserve-likely-to-cut-key-rate.webp"
                        alt="Image">
                </div>
                <h3 class="blog-heading">Federal Reserve likely to cut key rate Wednesday and may signal another cut to follow</h3>
                <p class="blog-author">NOVEMBER 15,2025</p>
            </a>

            <!-- Blog Item 2 -->
            <a title="more" href="../business-and-economy/us-and-global-economic-outlook-deteriorates-in-trump-trade-war-imf-says.php" class="blog-card">
                <div class="blog-thumb">
                    <img src="../image/us-and-global-economic-outlook.jpg"
                        alt="Image">
                </div>
                <h3 class="blog-heading">US and global economic outlook deteriorates in Trump trade war, IMF says</h3>
                <p class="blog-author">NOVEMBER 15,2025</p>
            </a>

            <!-- Blog Item 3 -->
            <a title="more" href="../business-and-economy/most-us-stocks-rise-after-swinging-through-another-erratic-day.php" class="blog-card">
                <div class="blog-thumb">
                    <img src="../image/most-us-stocks-rise.webp"
                        alt="Image">
                </div>
                <h3 class="blog-heading">Most US stocks rise after swinging through another erratic day</h3>
                <p class="blog-author">NOVEMBER 15,2025</p>
            </a>

            <!-- Blog Item 4 -->
            <a title="more" href="../business-and-economy/the-fed-faces-economic-uncertainty-and-political-pressure-as-it-decides-whether-to-cut-rates.php" class="blog-card">
                <div class="blog-thumb">
                    <img src="../image/the-fed-faces-economic-uncertainty-and-political-pressure.webp"
                        alt="Image">
                </div>
                <h3 class="blog-heading">The Fed faces economic uncertainty and political pressure as it decides whether to cut rates</h3>
                <p class="blog-author">NOVEMBER 15,2025</p>
            </a>

            <!-- Blog Item 5 -->
            <a title="more" href="../business-and-economy/imf-more-upbeat-about-us-growth-than-just-months-ago-but-outlook-is-dimmer-than-last-year.php" class="blog-card">
                <div class="blog-thumb">
                    <img src="../image/imf-more-upbeat-about-us-growth.webp"
                        alt="Image">
                </div>
                <h3 class="blog-heading">IMF more upbeat about US growth than just months ago, but outlook is dimmer than last year</h3>
                <p class="blog-author">NOVEMBER 15,2025</p>
            </a>


        </div>
<?php include '../footer.php'; ?>
    </section>

    <script defer src="../js/style.js" ></script>
</body>

</html>