Markets face heightened uncertainty as the Fed navigates incomplete economic data following a 43-day government shutdown and October rate cut, with Powell rejecting assumptions of a December cut.
The US Federal Reserve reduced rates to 3.75%-4% in October, but Chair Jerome Powell dismissed expectations for a December cut. A 43-day government shutdown halted key labor and inflation statistics, complicating market outlook and leaving policymakers with incomplete information for their December decision. Analysts warn this data gap could hinder accurate policy assessments amid slowing economic signals.