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flag Fed's Paulson delays further rate cuts, citing need for more data on growth and jobs despite moderating inflation.

flag Federal Reserve Bank of Philadelphia President Anna Paulson said further rate cuts may be delayed as the Fed evaluates economic data after three cuts in 2025. flag She noted inflation is moderating, growth is around 2%, and the labor market is stabilizing, though slowing. flag With the current rate range of 3.5% to 3.75% still somewhat restrictive, Paulson expressed cautious optimism that inflation could reach the 2% target by year-end, especially after tariff-related price adjustments. flag She stressed the need for more clarity on growth and employment trends before additional easing, emphasizing the Fed’s balancing act between inflation control and labor market stability.

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