🚨 THE FED HELD INTEREST RATES STEADY TODAY, BUT TWO MORE OFFICIALS CALLED FOR ANOTHER INCREASE. Lisa Cook and Beth Hammack voted against the decision, both advocating for a 0.25% rate hike today. This reveals how much pressure has built up within the Fed. The statement clarifies why: the Fed upgraded its description of the economy from “moderate” to “strong.” It still describes inflation as “elevated.” A strong economy with high inflation is precisely the environment in which the Fed raises rates—not cuts them. But one key line changed significantly. In September, the Fed said the previous hike would bring inflation down more quickly. That line is gone today. Now, it says it needs “more information” before deciding on its next move. In other words, the Fed is no longer confident that its last hike was sufficient—it’s waiting for the next data points before acting. And those data points are coming soon: • September PCE inflation, tomorrow • October employment report, November 6 • October CPI, November 10 Inflation remains at 3.7%. Producer prices jumped 1.3% in a single month. Long-term inflation expectations stand at 3.5%. If these figures continue to come in hot, today’s two votes for a hike could become a majority by December.