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August 18, 2025

Inflation or jobs: Federal Reserve officials are divided over competing concerns

  • Which is a bigger problem for the economy right now, stubborn inflation or slower hiring?
    • By CHRISTOPHER RUGABER
    AP Economics Writer

    WASHINGTON — One major question will be front and center for Federal Reserve policymakers as they prepare for an annual conference in Jackson, Wyoming next week and a crucial policy meeting in September: Which is a bigger problem for the economy right now, stubborn inflation or slower hiring?

    Weak job gains since April have pushed some officials toward supporting a cut in the Fed's key rate as soon as next month, but speeches and comments by other Fed policymakers show that inflation is still a concern.


     
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