WASHINGTON (AP) 鈥� With inflation still elevated, Federal Reserve officials expressed caution at their about cutting interest rates too quickly, adding to uncertainty about their next moves.
Even if inflation continued declining to the Fed's 2% target, officials said, 鈥渋t would likely be appropriate to move gradually鈥� in lowering rates, according to of the November 6-7 meeting.
The minutes don't specifically provide much guidance about what the Fed will do at its next meeting Dec. 17-18. Wall Street investors see the odds of another quarter-point reduction in the Fed's key rate at that meeting as nearly even, according to . Most economists think officials will probably cut rates next month for the third time this year, but could then skip cutting at following meetings.
In September, the Fed signaled it would reduce its key rate as many as four times next year, but since then investors and economists have come to expect fewer cuts. The economy is growing at a solid pace, inflation is showing signs of getting stuck above the Fed's target, and President-elect Donald Trump's proposals, , could also accelerate inflation.
Christopher Rugaber, The Associated Press
