Fed's dual mandate focuses more on employment

Odaily News The Fed's decision to cut rates by 50 basis points was supported by officials' shifting views on the economic outlook. Fed officials now expect the unemployment rate to remain at 4.4% by the end of 2024, compared with their previous forecast of 4% in June. Inflation has also slowed down from June in the eyes of Fed officials. They expect 12-month PCE inflation to be 2.3%, compared with 2.6% in the last dot plot. This shift in view suggests that the Fed is paying more and more attention to the employment aspect of its dual mandate. (Jinshi)