Opinion: Inflation has not significantly decreased, the Federal Reserve may adjust the wording of its inflation viewpoint

Analysts predict that the United States will cut interest rates by 25 basis points this week, but Neilson, chief economist at the US Bank Policy Research Institute, said that the Federal Reserve may provide some clues indicating its views on inflation are changing. Neilson wrote that the Fed's previous policy statement stated, "The committee's confidence in inflation continuing to move towards 2% has strengthened," but given that the weighted average core CPI and PCE inflation data have not significantly dropped since summer, it is difficult for Fed officials to reiterate their confidence has further improved. Neilson said Powell might use his remarks to open the door for a pause in rate cuts at the last meeting of this year held by the Federal Reserve in December.