Accessibility StatementSkip Navigation Savings could stimulate up to $4.4 billion in additional gross state product throughout the region while supporting nearly 2,000 jobs annually NEW YORK, Nov. 4, 2025 /PRNewswire/ -- Construction of the proposed Constitution natural gas pipeline could provide significant price relief and other economic benefits for the U.S. Northeast region, generating up to $11.6 billion in energy savings for consumers and supporting nearly 2,000 jobs annually over a 15-year period, ac ...

In the near term, risks to inflation are tilted to the upside and risks to employment to the downside. A challenging situation. There is no risk-free path for policy as we navigate this tension between our employment and inflation goals.Our framework calls for us to take a balanced approach in promoting both sides of our dual mandate. With downside risks to employment having increased in recent months, the balance of risks has shifted. Accordingly, we judged it appropriate at this meeting to take another st ...

Core Insights - The article discusses the expertise of Ernest Hoffman, a Crypto and Market Reporter for Kitco News, highlighting his extensive background in market news and journalism [3]. Group 1 - Ernest Hoffman has over 15 years of experience in writing, editing, broadcasting, and producing for various media and cultural organizations [3]. - He began his career in market news in 2007, establishing a broadcast division that created a fast web-based audio news service [3]. - Hoffman has a Bachelor's degree in Journalism from Concordia University [3].

Fed Independence & Political Influence - The removal of a Fed governor based on accusations poses a significant threat to the Fed's independence [1][3] - Such a removal could set a precedent, allowing political influence to sway interest rate decisions away from the Fed's dual mandate [3][6] - Administrations typically favor lower interest rates, potentially leading to policies misaligned with maximum employment and price stability [6] Market Reaction & Economic Implications - Markets may not immediately react to the issue but could respond negatively if a governor is removed from the FOMC [4][6] - Political influence on interest rates could introduce inflation and risk premiums in the long-term bond market [7] - A Fed perceived as politically influenced could lead to higher premiums on long bond yields, counteracting the goal of lower long-term interest rates [7]

Core Points - The Federal Reserve has implemented a quarter percentage point interest rate cut, lowering the benchmark to a target range of 4%-4.25%, the lowest in nearly three years [1] - The Federal Open Market Committee has indicated future directions for monetary policy [1] Group 1 - There was only one dissenting vote during the Federal Reserve's decision, contrary to expectations of multiple "no" votes, suggesting a unified front among committee members [2] - The primary challenge for the Federal Reserve in the coming years will be maintaining full employment, as the hiring environment is becoming less healthy despite a well-operating economy [2] - Analysts suggest that the Federal Reserve may tolerate inflation above its target due to upcoming personnel changes, indicating a potential shift in monetary policy approach [2]

Monetary Policy & Interest Rates - The Federal Reserve is widely expected to hold rates steady at the current FOMC meeting [1] - Some governors may dissent, arguing for lower rates [2] - The Fed is likely to keep options open, including a potential action in September [3][4][10] - The market believes that the Fed cutting rates is not a certainty, as evidenced by long rates increasing the last time rates were cut [11] - The Fed's control over the long end of the curve is limited, influenced more by future growth prospects and treasury supply/demand [12][14] Inflation & Economic Factors - There are disinflationary forces at play, including sluggish growth, regulatory review, and the AI boom [3] - Tariffs will increase costs, but the impact on persistent price pressures in a disinflationary environment is uncertain [4][5] - The Fed is trying to determine if cost increases are one-time events [6] - The unemployment rate is low due to decelerating workforce growth, not aggressive hiring [9] Labor Market - Hiring levels are sluggish and may continue to be so [10] Fed's Mandate - Price stability is considered a primary job for the Federal Reserve by many [8] - The Fed has been overbalanced towards inflation concerns recently due to the tariff situation [10] - The Fed is expected to try to get more balanced between inflation and full employment, which may lead to action [10] Fed's Decision-Making - The decision to cut rates requires a consensus among the 12 voting members, not solely the Fed chair's decision [14]

Look, importantly, uh, markets rely on the independence of the Fed and the Fed's commitment to achieving its congressionally mandated goals of price stability and maximum employment in uh, assessing the soundness of the US economy and their security in terms of um, returns they can expect investing in the United States. And when a president threatens to remove a chair unless he radically lowers interest rates with the stated purpose um of helping the government finance its borrowing um not the congressional ...

Monetary Policy & Economic Goals - The Fed is mandated to pursue price stability and maximum employment [1] - Fed officials should make fact-based judgments [1] - The Fed aims to stay out of politics and avoid short-term political pressures [2] - The Fed strives to behave in a nonpartisan way [2] Inflation & Labor Market - US inflation is coming down and approaching the Fed's 2% goal [3] - The US unemployment rate is at 4.1% [3] - The post-pandemic surge in price pressures was experienced by the US and other developed countries [3] Fed's Independence & Track Record - The Fed has generally maintained independence over decades [2] - The Fed's track record has been successful [2]

Well, I think let's back up and talk about principles. As you think about across time, the the the Fed was set up to be independent and have a dual mandate, unemployment, price stability, i.e. inflation. And their job is to manage you add their management economy through short-term interest rate adjustments to accomplish that outcome.And I think a stable central bank is a is really very important and very important in the United States because of this size economy with 30 trillion dollars plus of debt out t ...

Market Trends & Global Financial System - Investors are wary of longer-dated debt due to market volatility [1][4] - The financial system is repricing from a unipolar to a multipolar system [2] - Central banks are prioritizing financial stability over price stability, leading to higher inflation [3] Investment Strategies & Asset Allocation - Investors should consider hard assets like gold and private credit [3][4] - It's better to stay closer to home and position for upside in markets like equities or commodities [5] US Economic Outlook & Fiscal Policy - Tariffs won't generate enough capital to sustain the deficit [2] - The US may face austerity measures, including spending cuts, potentially starting in 2026 [2][5] - Voters are showing less tolerance for fiscal profligacy [6] - The US can continue spending at a clip of 6-7%, but eventually needs to find ways to fund the Treasury, cut spending, or depreciate the currency [7]