US EditionUS Fed's Bowman: Latest jobs data stiffens support for three rate cuts in 2025
UNITED STATES, AUG 09 – Bowman highlights labor market fragility with only 35,000 monthly job gains and rising unemployment near 4.3%, advocating three Fed rate cuts to support economic growth in 2025.
- Federal Reserve Governor Michelle Bowman called for three interest rate cuts in 2025 following last week's weaker-than-expected U.S. jobs report.
- Bowman justified her position by highlighting that payroll growth had decelerated to an average of 35,000 jobs monthly over the quarter concluding in July, alongside a rise in the unemployment rate to nearly 4.2%.
- She noted that inflation has fallen from its post-pandemic high above 9% and is gradually approaching the Federal Reserve’s goal of 2%, adding that tariffs are unlikely to lead to sustained inflationary pressure.
- Bowman emphasized that recent labor market indicators support her perspective and recommended gradually shifting the current restrictive policy toward a neutral stance to mitigate risks if the labor market weakens further.
- Her dissenting vote against keeping rates steady highlights growing concerns among some Fed officials that easing is needed to support the softening economy and labor market.
91 Articles
91 Articles
US Fed official warns of fragile jobs market, urges proactive rate cuts
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US Fed's Bowman: Latest jobs data stiffens support for three rate cuts in 2025
The Federal Reserve's vice chair of supervision, Michelle Bowman, on Saturday said recent weak job data underscores her concerns about labor market fragility and strengthens her confidence in her own forecast that three interest-rate cuts will likely be appropriate this year.
Fed Governor Bowman says weak jobs report backs her view for 3 rate cuts this year
A top official at the Federal Reserve said Saturday that this month’s stunning, weaker-than-expected report on the U.S. job market is strengthening her belief that interest rates should be lower. Michelle Bowman was one of two Fed officials who voted a week and a half ago in favor of cutting interest rates. Such a move could help boost the economy by making it cheaper for people to borrow money to buy a house or a car, but it could also threaten…
Associated Press News
A top Federal Reserve official says dour jobs data backs the case for 3 rate cuts
A top official at the Federal Reserve is saying that this month’s stunning, weaker-than-expected report on the U.S. job market is strengthening her belief that interest rates should be lower.
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