Powell maintains path for US interest rate cuts this week.

Expectation for a rate reduction this Wednesday shares space with uncertainty over the succession of the Fed president.

The President of the Federal Reserve, Jerome Powell, is expected to ensure another cut of 0.25 percentage points in the interest rate this week, despite growing discomfort among other market participants who see inflation still high.

The Fed meeting will be this Wednesday, the (10th).

The Fed made the second consecutive reduction in October, motivated by the sudden deterioration of the US labor market.

But this was followed by a wave of more "hawkish" concerns from some officials, including five of them with voting rights this year, indicating hesitation or lack of support for a third cut in December.

According to analysts, this growing division has been exacerbated by the lack of recent economic data due to the government shutdown that extended through October and November.

The most recent available inflation data, released on December 5, still refers to September - a report unlikely to influence the current debate.

Source: InfoMoney25