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Gate 2025 Year-End Community Gala 2026 Year of Civil War Federal Reserve Rate Cuts
Within the Federal Reserve, there is the most intense disagreement in nearly six years.
Regarding "how much to cut, when to do it," officials are almost fiercely arguing—
One side supports a total rate cut of more than 100 basis points this year,
Stating firmly that the current interest rate of 3.5%–3.75% continues to pressure the economy;
The other side strongly defends the inflation stance, insisting on a maximum of 25 basis points each time, unwilling to concede.
The positions of both sides are opposed, leaving almost no room for compromise.
This dispute is not an ideological battle but a game of open realities.
Dovish data is very direct: consumer spending continues to slow, manufacturing indices repeatedly struggle near the brink of collapse;
More importantly, the US debt of $38 trillion, with annual interest costs already reaching $1.3 trillion.
A simple estimate, if the rate cuts