WSJ Economy

Switzerland’s central bank again left its key interest rate unchanged, but signaled it was open to a further cut that would take it below zero.

Policymakers in Europe may face growing pressure to also lower interest rates if the pace of easing significantly weakens the dollar.

President Trump wants lower interest rates and a new Fed chair. Wednesday’s divisions suggest one won’t guarantee the other.

Powell said that Fed staffers believe federal data could be overstating job creation by up to 60,000 jobs a month—which suggests the jobs market might be shrinking.

Monetary policy committee holds benchmark rate steady for a fourth consecutive meeting as inflation remains above the central bank’s target.

Three officials dissented in opposite directions. Stalled progress on inflation and a cooling job market made for one of the most divided meetings in years.

Gov. Tiff Macklem acknowledged positive developments but said challenges remain and growth is expected to be ‘fairly modest’.

Subscribers asked about Fed decision-making in the absence of key data from government agencies, the impact of tariffs and inflation on the rate decision, and more.

The Federal Reserve is ready to once more expand its balance sheet by buying short-term Treasury securities, aiming to head off bouts of pressure in overnight lending markets that are critical to the broader financial system.

Gov. Tiff Macklem says uncertainty remains elevated, and data volatility makes it difficult to judge underlying momentum.

They have high rates of entrepreneurship and over time produce more in tax revenues than they receive in government benefits, studies show.

However, trade is likely to come under increased strain if goods that China can no longer sell to U.S. consumers flood other markets at knock-down prices.

Christine Lagarde said she suspects the central bank will upgrade its growth forecasts for the eurozone at its next meeting, as it did in September.

The president said that he will be looking at ‘a couple of different people’ for Fed chair.

November’s consumer inflation reading marked the highest on-year rise since March 2024 but producer prices remained in negative territory.

Asia’s economies have fared better than expected in a year dominated by U.S. tariff threats but growth will slow next year, the Asian Development Bank said.

The favorite to be the next Fed chair added that there is “plenty of room” to cut rates in the months ahead, aligning himself with President Trump’s repeated calls for lower borrowing costs.

The Labor Department’s JOLTS survey shows rate of layoffs ticked up to 1.2% in October versus 1.1% in August.

The Leading Economic Index, published by research group The Conference Board, fell 0.3% to 98.3 in September, after a similar 0.3% decrease in August.

Private companies grew their payrolls slightly on net through much of November, human-resources firm ADP said.