For many investors, Friday's jobs report confirmed expectations that the Federal Reserve is on track to cut interest rates

The conventional wisdom among economists and traders is that the Federal Reserve is going to cut its benchmark interest rate by another quarter of a percentage point on Dec. 18, and then pause at its first meeting in 2025.

In her first major policy speech, Federal Reserve Bank of Cleveland President Beth Hammack said on Friday she’s keeping her options open when it comes to the central bank’s next policy meeting, as broader economic conditions continue to argue for a slowdown in the pace of rate cuts.

Federal Reserve Bank of Cleveland President Beth Hammack said policymakers are “at or near” the point where the central bank should slow the pace of interest-rate reductions, citing a strong economy and still-elevated inflation.

The Federal Open Market Committee is most likely to cut interest rates again to 4.25% to 4.5% on December 18 according to fixed income markets.

Federal Reserve Governor Michelle Bowman said on Friday that inflation risks to the economy remain real and labor market data hard to interpret, and that augurs caution with further decisions on central bank rate cuts.

Federal Reserve Governor Michelle Bowman reiterated that she prefers to lower interest rates cautiously, emphasizing underlying inflation remains “uncomfortably” above the central bank’s 2% goal.

Federal Reserve officials Michelle Bowman and Beth Hammack expressed concerns over inflation and said there is a need to exercise caution with lowering rates in the coming times. Fed Governor Michelle Bowman reportedly said that she continues to see greater risks to the price stability side of the central bank’s mandate,

Federal Reserve Governor Michelle Bowman says she prefers to lower interest rates cautiously. She speaks during a moderated conversation at the Missouri Bankers Association Executive Management Conference.