Fed officials say they have time before next rate decision

  • Fed officials said they have time to assess incoming data before deciding on another rate increase.
  • September payrolls rose by 29,000, unemployment reached 4.2%, and average monthly job creation over the past year was 41,000.
  • The Fed raised rates 25 basis points last month to a 3.75%-4% target range, while recent comments reduced expectations for an October hike.

Federal Reserve officials indicated they have time to assess incoming economic data before deciding whether to raise interest rates again. Cleveland Fed President Beth Hammack said September payrolls rose by 29,000 and unemployment reached 4.2%, while Vice Chair Philip Jefferson and New York Fed President John Williams made similar comments. The remarks reduced expectations for a rate hike at the Oct. 27-28 meeting, although officials continue to weigh slower hiring against persistent inflation concerns. The Fed raised its benchmark rate by 25 basis points last month to a target range of 3.75% to 4% and projected another increase before year-end.

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