U.S. central bankers on Tuesday said they continue to believe inflation is heading down to their 2% target and signaled support for further interest rate cuts ahead, but none pushed strongly for or against doing so when they next meet to set rates in two weeks.

The Federal Open Market Committee is most likely to cut interest rates again to 4.25% to 4.5% on December 18 according to fixed income markets.

Powell just a week after the meeting said the economy was "not sending any signals that we need to be in a hurry to lower rates."

A top Federal Reserve official says he is leaning toward supporting an interest rate cut when the Fed meets in two weeks but that evidence of persistent inflation before then could cause him to change that view.

Matthew Luzzetti, chief U.S. economist at Deutsche Bank, told Bloomberg TV he thought the Fed would do a 25-basis-point rate cut in December and then pause for the entirety of 2025. When asked what prompted his view, he mentioned two factors.

The account of the central bank’s Nov. 6-7 meeting, released on Tuesday, showed that Fed officials still planned to cut interest rates further. But with the job market holding up better than expected and the economy growing at a solid clip, they are in no rush to slash them rapidly.

When accounting for the various policies, Deutsche Bank estimates the US economy will grow at an annualized rate of 2.5% in 2025, with the rate of unemployment ending the year at 3.9% (down from 4.1% currently) and the Fed's preferred inflation gauge, "core" Personal Consumption Expenditures (PCE), ending 2025 at 2.6%.

Federal Reserve Bank of New York President John Williams said Monday more interest-rate cuts will be needed, but that the right timing would depend on upcoming data.

Federal Reserve Bank of New York President John Williams said on Monday the U.S. central bank is likely to lower its interest rate target further over time as inflation pressures continue to cool. “Monetary policy remains in restrictive territory to support the sustainable return of inflation to our 2 percent goal,

Federal Reserve Bank of New York President John Williams expects inflation to continue to decline to a 2% annual pace, but not in a linear fashion.

Federal Reserve Bank of New York President John Williams on Monday signaled support for more rate interest rate cuts over time as monetary policy remains restrictive. "I expect it will be appropriate to continue to move to a