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  Title	Federal Reserve likely to cut rates, may signal just one more reduction next year
  ID	29182635
  External ID	44eb5e07a45b5de94c90e0666e2263b2
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  Published Date	Dec. 10, 2025, 6:05 a.m.
  Summary	WASHINGTON (AP) — The Federal Reserve will almost certainly reduce its key interest rate Wednesday,
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  URL	https://www.bastillepost.com/global/article/5443017-federal-reserve-likely-to-cut-rates-may-signal-just-one-more-reduction-next-year
  Sentiment	Negative: 0.94830    Neutral: 0.03284    Positive: 0.01886
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  Content ID	36773110
  Key	b46ed18e-29de-44f4-a39e-e149a00e3053
  Content	WASHINGTON (AP) — The Federal Reserve will almost certainly reduce its key interest rate Wednesday, but the bigger question for financial markets and the economy is what signals Chair Jerome Powell may send regarding the central bank's next steps. It would be the third cut in a row and bring the Fed's key rate to about 3.6%, the lowest in nearly three years. For Americans struggling with high borrowing costs for homes, cars, and other large purchases, this year's rate cuts could reduce those costs over time — though it's not guaranteed. Mortgage rates in particular are also influenced by financial markets. This week's meeting could presage a much cloudier path for the Fed in 2026. The government shutdown has delayed two months of jobs and inflation data, leaving the Fed with much less information on hiring and inflation than it is used to. Powell's term as chair ends in May and President Donald Trump will nominate a replacement, possibly as soon as this month, who will almost certainly push for lower borrowing costs. Yet the new chair could face resistance from other Fed officials. In addition to a likely rate cut, the Fed could signal that the bar for another reduction when they next meet in late January will be higher than it has been this fall. A year ago, after implementing a third rate cut at its December meeting, the Fed indicated it would likely keep rates unchanged in the coming months. It didn't cut again until September. 'They would love to take a pass (in January), push it off to March, and just wait for a couple of more inflation reports to come in,' Tom Porcelli, chief economist at Wells Fargo, said. The Fed's 19-member rate-setting committee is deeply divided between those who support reducing rates to bolster hiring and those who'd prefer to keep rates unchanged because inflation remains above the central bank's 2% target. Higher borrowing costs can slow spending and the economy and reduce price increases. The government said last week in a delayed report that the Fed's preferred inflation gauge remained elevated in September, with both overall and core prices rising 2.8% from a year earlier. The lack of economic data has contributed to the divisions. But by their January meeting, they'll have up to three months of backlogged reports to consider. If those figures show that hiring has remained weak, or that layoffs have spiked, the Fed could reduce rates again in January. By contrast, if they show hiring has stabilized while inflation remains elevated, they may hold off on additional cuts for several months. On Wednesday, the Fed will also issue their quarterly set of economic projections, which include forecasts for where they will set rates at the end of this year and next. Economists expect just one rate reduction next year, as they did in September. Yet the projections will likely carry much less weight this year, since a new chair will probably push for more reductions. And if the economy weakens, more officials will support reductions. In an interview with Politico published Tuesday, Trump said 'yes' when asked if reducing rates 'immediately' was a litmus test for his new Fed chair. Trump has hinted that he will likely pick Kevin Hassett, his top economic adviser. Hassett has often called for lower borrowing costs, but this week has been more circumspect. In an interview Tuesday on CNBC, when asked how many more rate cuts he would support, Hassett did not give a specific answer and said, 'What you need to do is watch the data.' FILE _ Federal Reserve Chairman Jerome Powell speaks at a news conference after the Federal Open Market Committee meeting Oct. 29, 2025, at the Federal Reserve Board Building in Washington. (AP Photo/Manuel Balce Ceneta, File) OSLO, Norway (AP) — Venezuelan opposition leader María Corina Machado will miss the ceremony to award her the Nobel Peace Prize in Oslo on Wednesday, the head of the Norwegian Nobel Institute said. Machado last appeared in public 11 months ago. Nobel Institute director Kristian Berg Harpviken told public broadcaster NRK the Venezuelan opposition leader's daughter will accept the prize on Machado's behalf. He later told the broadcaster that Machado was expected in Oslo during the day — but 'unfortunately, she won't arrive in time to attend today's ceremony or other events.' 'We confirm that she will not attend the Nobel ceremony, but we are optimistic about her presence on the rest of the day's agenda,' said Machado's spokesperson, Claudia Macero. She did not give information on Machado's current location. Prominent Latin American figures planned to attend Wednesday's ceremony in a signal of solidarity with Machado, including Argentine President Javier Milei, Ecuador's President Daniel Noboa, Panama's President José Raúl Mulino and Paraguayan President Santiago Peña. Machado has been living in hiding and has not been seen in public since Jan. 9, when she was briefly detained after joining supporters in a protest in Caracas, Venezuela's capital. The 58-year-old's win for her struggle to achieve a democratic transition in her South American nation was announced on Oct. 10, and she was described as a woman 'who keeps the flame of democracy burning amid a growing darkness.' Machado won an opposition primary election and intended to challenge President Nicolás Maduro in last year's presidential election, but the government barred her from running for office. Retired diplomat Edmundo González took her place. The lead-up to the July 28, 2024, election saw widespread repression, including disqualifications, arrests and human rights violations. That increased after the country's National Electoral Council, which is stacked with Maduro loyalists, declared the incumbent the winner. González sought asylum in Spain last year after a Venezuelan court issued a warrant for his arrest. U.N. human rights officials and many independent rights groups have expressed concerns about the situation in Venezuela, and called for Maduro to be held accountable for the crackdown on dissent. Five past Nobel Peace Prize laureates were detained or imprisoned at the time of the award, according to the prize's official website, most recently Iranian activist Narges Mohammadi in 2023 and Belarusian human rights advocate Ales Bialiatski in 2022. The others were Liu Xiaobo of China in 2010, Aung San Suu Kyi of Myanmar in 1991 and Carl von Ossietzky of Germany in 1935. 'There is a long tradition that when a Peace Prize laureate cannot be present, close family members represent them," Harpviken said. "That happened with Narges Mohammadi, and with Ales Bialiatski; both were imprisoned at the time. And the same will happen with Maria Corina Machado today. The daughter will deliver the statement her mother has written.' Gustavo Tovar-Arroyo, a Venezuelan human rights activist who was himself forced to flee into exile in 2012, said Machado's supporters 'did the best for her to be here as she deserves. But we knew the risk.' He added that they are 'disappointed that she cannot be in the ceremony, but this is part of what we do when we fight against a dictatorship, a tyranny or a criminal regime. So we are used to it." Ana Corina Sosa, center, daughter of Nobel peace prize laureate Maria Machados, arrives at the Grand Hotel in Oslo on Monday, Dec. 8, 2025. (Lise Aserud/NTB via AP) FILE - Opposition leader Maria Corina Machado greets supporters during a protest against Venezuelan President Nicolas Maduro the day before his inauguration for a third term in Caracas, Venezuela, Thursday, Jan. 9, 2025. (AP Photo/Matias Delacroix, file) From left: Colombia's former vice president Marta Lucía Ramírez, Pedro Urruchurtu Noselli and Magalli Meda, who are collaborators with the Nobel Prize winner, Venezuelan opposition leader María Corina Machado, are seen at the Grand Hotel in Oslo, Tuesday Dec. 9, 2025. (Cornelius Poppe/NTB Scanpix via AP) FILE - Opposition leader Maria Corina Machado displays vote tally sheets during a protest against the reelection of President Nicolas Maduro one month after the disputed presidential vote which she says the opposition won by a landslide, in Caracas, Venezuela, Wednesday, Aug. 28, 2024. (AP Photo/Ariana Cubillos, file)
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  Publisher Name	BastillePost 巴士的報 (#14865)
  Publisher URL	https://www.bastillepost.com/
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  Trust Flow Score	21
  Citation Flow Score	34

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  Data Source Type	news
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