WASHINGTON—A Federal Reserve readout released this week shows that the two policymakers who dissented from last month’s decision to hold interest rates steady were not joined by others in advocating for a rate cut, Reuters reported.
"Almost all participants viewed it as appropriate to maintain the target range for the federal funds rate at 4.25% to 4.50% at this meeting," the minutes of the July 29-30 meeting said.
Fed Vice Chair for Supervision Michelle Bowman and Governor Christopher Waller opposed the decision to keep the benchmark interest rate unchanged, instead backing a quarter-point cut to protect against further job market weakness. It marked the first time since 1993 that more than one Fed governor dissented on a rate decision, Reuters said.
Less than 48 hours after last month’s meeting, Labor Department data appeared to validate Bowman and Waller’s concerns, showing weaker-than-expected July job growth, a higher unemployment rate, and labor force participation falling to its lowest level since late 2022, Reuters added.