Fed Kashkari: Does not support last month's rate cut and is cautiously observing the December decision.

[Fed Kashkari: Does Not Support Last Month's Rate Cut, Holds Wait-and-see Attitude for December Decision] Minneapolis Fed President Kashkari stated that he does not support the Fed's last rate cut decision, but he still holds a wait-and-see attitude toward the best course of action for the December meeting. He said on Thursday: “From the scattered evidence and data we have, the fundamental resilience of economic activity is stronger than I expected.” He believes this indicates that the Fed should pause rate cuts at the October meeting. Since then, existing data shows that the economic situation has “remained largely unchanged.” Regarding the upcoming December interest rate decision, he stated: “I can make a case for a rate cut based on the data trends, and I can also make a case for keeping it unchanged; we will have to wait and see.” Kashkari had previously indicated after the September meeting that he expected two more rate cuts in 2025. He stated on Thursday that at that time he believed the economy was showing clearer signs of slowing down. He said: “There have been many reports about low-income borrowers falling into trouble, so it seems that there are indeed some vulnerable areas in the labor market. But many companies are performing well in terms of profitability, and many companies are optimistic about 2026.”