Three Fed Officials Say Rising Uncertainty Drove Dissents

Three Federal Reserve officials said they dissented over this week’s policy statement because it was no longer appropriate to signal the Fed’s next move was still likely to be an interest-rate cut.

“I believe the FOMC should offer a policy outlook that signals that the next rate change could be either a cut or a hike, depending on how the economy evolves,” Minneapolis Fed president Neel Kashkari said in an essay released Friday. “This could tighten financial conditions somewhat today, pushing back against a high-inflation scenario that could require an even stronger monetary policy response in the future.”

Minneapolis Fed President Neel Kashkari

Photographer: Michael Nagle/Bloomberg

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