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    Covid shot access, coverage at stake as RFK Jr.’s hand-picked vaccine panel convenes 

    Covid shot access and coverage in the U.S. hang in the balance as an influential government vaccine panel hand-picked by Health and Human Services Secretary Robert F. Kennedy Jr. convenes this week in Atlanta. 
    The Advisory Committee on Immunization Practices, or ACIP, is scheduled to vote on recommendations for Covid shots and childhood immunizations for hepatitis B and measles, mumps, rubella, and varicella, or MMRV.
    Some public health experts warn that weakening recommendations for Covid vaccines and other shots could make it harder for some people to access the jabs and have them covered by insurance. 

    Ruth Jones, immunization nurse, holds a Pfizer-BioNTech COVID-19 vaccine (brand name: Comirnaty) at Borinquen Health Care Center in Miami, Florida, on May 29, 2025.
    Joe Raedle | Getty Images

    Covid shot access and coverage in the U.S. hang in the balance as an influential government vaccine panel hand-picked by Health and Human Services Secretary Robert F. Kennedy Jr. convenes this week in Atlanta. 
    The panel, called the Advisory Committee on Immunization Practices, or ACIP, is scheduled to vote on recommendations for Covid jabs and childhood immunizations for hepatitis B and measles, mumps, rubella, and varicella, or MMRV. Kennedy has gutted and restacked that committee with new members, some of whom are vaccine critics, raising concerns that they could soften, delay or fully eliminate recommendations for routine shots proven to be safe and effective. 

    The panel is expected to vote on the hepatitis B and MMRV shot on Thursday, and Covid vaccines on Friday. The Centers for Disease Control and Prevention, whose latest director was ousted by the Trump administration earlier this month, typically adopts the panel’s recommendations. 
    Some public health experts warn that weakening recommendations for Covid vaccines and other shots could make it harder for some people — especially healthy adults and children, along with those in rural areas — to access the jabs and have them covered by insurance. 
    One major health insurance group on Wednesday said its member plans will cover all vaccines already recommended by ACIP, including updated Covid and flu shots, despite any changes the new slate of appointees makes this week.
    Still, any further restrictions on shots by ACIP could have trickle-down effects, further depressing already declining immunization rates for vaccine-preventable diseases and raising the risk of outbreaks.
    “There’s a pretty good likelihood that the decisions coming out of this meeting will further restrict vaccinations or at a minimum, limit or add confusion to the scope of vaccination coverage at a time when we really need to be doing everything possible to make them as widely available as possible,” Neil Maniar, a public health professor at Northeastern University, told CNBC. “There’s a lot of concern that we could see unnecessary outbreaks of diseases.”

    Maniar said the votes are especially critical heading into the fall and winter season, when diseases, particularly respiratory viruses like Covid, spread more easily. 
    The panel’s guidance determines which shots insurance plans and some government-run programs must cover at no cost to patients. In some states, pharmacists are also legally barred from administering vaccines that ACIP does not recommend. 
    If ACIP votes to further restrict shot access, it could normalize policy decisions not grounded in science and further confuse Americans following Kennedy’s other recent moves to change U.S. vaccine policy. Those include the CDC’s decision to drop Covid shot recommendations for healthy kids and pregnant women, and the Food and Drug Administration’s approval of new Covid jabs with limits on who can get them. 
    The FDA’s approval already created confusion leading up to the panel’s meeting this week, as some states are requiring that patients have prescriptions to receive a Covid vaccine. 
    Numerous studies have demonstrated that shots using mRNA technology, including Covid vaccines from Pfizer and Moderna, are safe and effective, and serious side effects have happened in extremely rare cases. One paper in August estimates that Covid vaccines saved more than 2 million lives, mostly among older adults, worldwide between 2020 and October 2024. 
    “To turn around and claim, well, after five years of all of us getting the vaccines and having them save millions of lives all over the world, the shots are no longer safe and effective – it does lead to confusion and uncertainty,” said Dr. Kawsar Talaat, associate professor of international health at the Johns Hopkins Bloomberg School of Public Health. 
    “People don’t know who to trust and who to listen to, and therefore people are less likely to feel comfortable getting the vaccines that could keep them healthy.” 

    Covid vaccines in focus 

    Kennedy has insisted that “anybody” who wants a Covid vaccine can get one, despite several reports and statements from lawmakers describing obstacles. Those hurdles cropped up after the FDA in August approved Covid shots for those 65 and up and younger adults with at least one underlying condition that puts them at higher risk of severe illness from the virus.
    It was a break from U.S. vaccine policy in previous years, which recommended an annual Covid shot for all Americans 6 months and up.
    The CDC panel could tailor its recommendations to the FDA’s approval, or further limit their use, given many members are hostile to mRNA shots and vaccines more broadly. One member, Retsef Levi, has pushed to stop giving mRNA vaccines, falsely claiming in a post on X that they cause “serious harm including death, especially among young people.”
    It’s unclear what exact data will be presented at the meeting on Friday, but some health experts are concerned about whether the presentations will be based on concrete science. One presentation presented to the panel in June included a fabricated citation for a study that does not exist, according to multiple reports.
    “I think it’s really important to see who is speaking at the meeting and what their agenda is,” Talaat said. “There were made-up studies and just falsehoods presented at the last ACIP meeting. I would not be surprised to see similar things at this one.” 
    The Washington Post reported Friday that Trump administration health officials plan to link Covid vaccines to the deaths of 25 children in a presentation to ACIP. The claim is expected to be based on reports submitted to the FDA’s Vaccine Adverse Event Reporting System, or VAERS, which collects unverified side effects from shots.
    Researchers have previously noted an elevated but rare risk of myocarditis, or inflamed heart muscle, in young men in particular. But there is no evidence that the vaccines in use now cause any other major safety risks, including pediatric deaths. 
    Kennedy in September argued that “there’s no clinical data” supporting Covid vaccine recommendations for healthy individuals.
    Talaat said healthy people are less likely to end up in the hospital from Covid. But she noted they could still develop long Covid or put high-risk people around them – whether that be elderly family members or immunocompromised coworkers – at risk of contracting the virus and developing severe illness. 

    Access could vary by state

    If ACIP moves to weaken Covid shot recommendations, access could vary by state, according to Talaat. 
    On Wednesday, the governors of Oregon, Washington, California and Hawaii recommended that all adults and children concerned about the respiratory illness season can receive the Covid vaccine and other common immunizations. The updated guidelines in those states align with mainstream medical groups and aim to ensure access to shots even as the federal government changes guidelines.
    Governors of several Democratic states, including Arizona, Illinois, Maine and North Carolina, have also signed orders intended to ensure most residents can receive Covid vaccines at pharmacies without individual prescriptions. 
    Some states, particularly those led by Republicans, still require a doctor’s orders. 
    Talaat said the people who are “going to suffer the most” are those who live in rural areas because they may not have easy access to a doctor who can provide a prescription or a pharmacy to receive a shot. 
    But recommendations that further limit Covid shots could also force some children and adults to pay out of pocket for them. Talaat and some estimates said more than half of children in the U.S. are covered by the government-run Vaccines for Children program, which offers recommended shots for free. 
    Medicare and Medicaid require that the recommended vaccines are free for patients, while the Affordable Care Act requires private insurers to cover all shots recommended by the panel and the CDC director. 
    America’s Health Insurance Plans’ pledge on Wednesday to cover shots currently recommended by ACIP was significant because of the size of its member plans, which together provide coverage and services to over 200 million Americans. That includes more than a dozen Blue Cross Blue Shield plans, Centene, CVS’s Aetna, Elevance Health, Humana, Kaiser Permanente, Molina, and Cigna.
    But the group doesn’t cover everyone. For example, UnitedHealthcare, the country’s largest private health insurer, is not a member of the group.

    Hepatitis B, MMRV shots

    ACIP on Thursday could reconsider a longstanding recommendation to give all newborns a dose of the hepatitis B vaccine within the first 24 hours of life, which the panel first recommended in 1991. Kennedy and anti-vaccine activists have repeatedly questioned that guidance. 
    But the shot has been a life-saving public health intervention against the disease, which can lead to severe health problems, including liver cancer and failure, and death. Acute hepatitis B infections reported among children and teens dropped by 99% between 1990 and 2019, some studies said. 
    The vaccines are estimated to prevented 38 million deaths among people born between 2000 and 2030 in 98 low and middle-income countries, according to the CDC. The agency said vaccination within the first day of birth, followed by two-to-three additional doses, protects children for life. 
    The panel is expected to vote to recommend delaying the hepatitis B vaccine until age 4, two former senior CDC officials told KFF Health News. 
    Talaat said global rates of hepatitis B in children have fallen thanks to the initial “birth dose” of the shot. While the U.S. now has low levels of the virus, skipping that dose carries risks: a mother can still pass the infection to her baby at birth, and newborns are far more likely to develop a lifelong, incurable infection.
    Meanwhile, ACIP Chair Martin Kulldorff said at the panel’s June meeting that it may consider a proposal to advise against giving a product that combines the measles, mumps and rubella vaccine with the shot against varicella, or chicken pox, to children under 4.  
    The CDC currently recommends getting those vaccines separately for those ages 1 to 2, but parents can opt to get them together for children age 4 and above.
    Fever-induced seizures tied to the combination shot are common in young children – the CDC estimates the risk is at roughly 5% – but don’t cause permanent harm.
    Significant changes made to the schedule or availability of MMRV shots could result in increased hesitancy among parents to get their children vaccinated. The U.S. already surpassed a milestone in reported measles cases in 2025, as it logged the most cases since the disease was declared eliminated in the U.S. More

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    Hyundai adjusts full-year forecast, citing tariffs, ahead of investor day

    Hyundai is increasing its revenue expectations for 2025, despite ongoing U.S. tariffs causing the automaker to lower its expected operating profit for the year.
    The South Korean automaker revised its financial targets Thursday ahead of a CEO investor day in New York City.

    Danielle DeVries

    NEW YORK – Hyundai Motor is increasing its revenue expectations for this year, despite ongoing U.S. tariffs causing the automaker to lower its expected operating profit margin for 2025.
    The new targets call for an operating profit margin this year of between 6% and 7%, down from 7% to 8%, and an increase in revenue of between 5% and 6% — up 2 percentage points — compared with 175.2 trillion South Korean won (US$12.7 billion) in 2024.

    The South Korean automaker revised its financial targets Thursday ahead of a CEO investor day in New York City. It will be the first time the company has hosted the event outside of South Korea. as well as the first for CEO Jose Munoz, who was promoted to lead the automaker beginning this year.
    Along with revising financial targets, the automaker reconfirmed its ambitious growth plans that include increasing annual sales to 5.55 million by 2030. Such results would mark a roughly 34% increase from its global sales last year of 4.14 million units.
    The CEO investor event comes at an inopportune time for the company, as well as relations between the U.S. and South Korea.

    A masked federal agent wearing a Homeland Security Investigations vest guards a site during a raid where about 300 South Koreans were among 475 people arrested at the site of a $4.3 billion project by Hyundai Motor and LG Energy Solution to build batteries for electric cars in Ellabell, Georgia, U.S. September 4, 2025 in a still image taken from a video.
    U.s. Immigration And Customs Enf | Via Reuters

    Munoz will address investors weeks after hundreds of workers were arrested during an immigration raid at a jointly owned battery plant between Hyundai and LG Energy Solution in Georgia.
    About 475 workers, including more than 300 South Koreans, were arrested in the Sept. 4 raid at the plant in Ellabell, Georgia, according to U.S. immigration officials. Many workers who were detained returned home via a chartered plane following discussions between South Korea and U.S. officials.
    The raid, which was the largest single-site enforcement operation in the U.S. Department of Homeland Security’s history, was conducted over suspicions about “unlawful” visas or immigration status of workers at the site, U.S. officials have said. More

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    Huawei touts ‘world’s most powerful’ AI chip cluster as Nvidia’s China challenges mount

    Huawei is ramping up its AI computing systems just as U.S. chipmaker Nvidia is running into challenges in the mainland.
    The Chinese tech giant claimed that the new supernodes would be the world’s most powerful by computing power for several years.
    While an analyst cautioned that Huawei might exaggerate its technical capabilities, he pointed out that its ambition to be a world AI leader “cannot be underestimated.”

    A person walks past a display of an Atlas 900 AI cluster at the Huawei stand during the World Artificial Intelligence Conference at the Shanghai World Expo and Convention Center in Shanghai on July 28, 2025.
    Hector Retamal | Afp | Getty Images

    BEIJING — Chinese telecommunications giant Huawei announced Thursday new computing systems for powering artificial intelligence with its in-house Ascend chips, as it steps up pressure on U.S. rival Nvidia.
    The company said it plans to launch its new “Atlas 950 SuperCluster” as soon as next year.

    The U.S. has sought to cut China off from the most advanced semiconductors for training AI models. To cope, Chinese companies have turned more to grouping large numbers of less efficient, often homegrown, chips together to achieve similar computing capabilities.
    Huawei announced it would roll out three new versions of its Ascend chips through the end of 2028, with the aim to “double compute” capabilities with each year’s release.
    The chips form the basis of Huawei’s AI computing infrastructure, in which a supercluster is connected to multiple superpods, which, in turn, are built from multiple supernodes. Supernodes, which form the base, are built on Ascend chips, using system design to overcome technical limitations imposed by U.S. sanctions.
    Huawei said its new Atlas 950 supernode would support 8,192 Ascend chips, and that the Atlas 950 SuperCluster would use more than 500,000 chips.
    A more advanced Atlas 960 version, slated for launch in 2027, would support 15,488 Ascend chips per node. The full supercluster would have more than 1 million Ascend chips, according to Huawei.

    It was not immediately clear how the systems compared with those powered by Nvidia chips. Huawei claimed in a press release that the new supernodes would be the world’s most powerful by computing power for several years.
    In a speech Thursday, Eric Xu, vice chairman and rotating chairman of Huawei, claimed that its forthcoming Atlas 950 supernode would deliver 6.7 times more computing power than Nvidia’s NVL144 system, also planned for launch next year.
    Xu even predicted that Huawei’s product would “be ahead on all fronts” compared with another Nvidia system planned for launch in 2027 — and claimed the Atlas 950 supercluster would have 1.3 times the computing power of Elon Musk’s xAI Colossus supercomputer.
    “Huawei’s announcement on its computing breakthrough is well timed with recent increasing emphasis by the Chinese government on self-reliance on China’s own chip technologies,” said George Chen, partner and co-chair, digital practice, The Asia Group.
    While he cautioned that Huawei might exaggerate its technical capabilities, Chen pointed out that the Chinese company’s ambition to be a world AI leader “cannot be underestimated.”

    Research firm SemiAnalysis found in April that Huawei’s self-developed CloudMatrix system was able to perform better than Nvidia’s — despite each Ascend chip delivering only about one-third the performance of an Nvidia processor. Huawei built its advantage by having five times as many chips.
    “Computing power has and will continue to be the key for AI,” Rotating Chairman Xu said Thursday in a statement, translated by CNBC. He was speaking at the opening of the company’s annual Huawei Connect event in Shanghai. The event runs through Saturday.
    Two years ago at the same event, Huawei announced its Atlas 900 SuperCluster. The company currently sells a “Atlas 900 AI Cluster” with “thousands” of Ascend chips.
    Huawei said Thursday it had deployed more than 300 of its Atlas 900 A3 supernodes to more than 20 customers in telecoms, manufacturing and other industries.

    Rising pressure on Nvidia

    Huawei’s announcement comes as China promotes homegrown alternatives to Nvidia. Earlier this week, the two countries wrapped up trade talks in Spain that included a path toward resolving the long-contested U.S. operations of social media app TikTok, owned by Beijing-based startup ByteDance.
    In another aggressive signal, China on Monday announced it was extending a probe into Nvidia over alleged monopolistic practices.
    Pressure has only risen since on the U.S. chipmaker. Its shares fell more than 2% Wednesday after the Financial Times, citing sources, said China has ordered local tech giants to stop tests and orders of the Nvidia RTX Pro 6000D chip.
    Nvidia CEO Jensen Huang told reporters he was “disappointed” to hear the news of the reported ban. He’s previously described Huawei as a “formidable” competitor.

    How Huawei ascended from telecoms to become China’s ‘jack of all trades’ AI leader More

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    Spirit CEO says struggling airline will slash flights, braces employees for more job cuts

    Spirit Airlines is planning to reduce capacity 25% in its November schedule, CEO Dave Davis told staff Wednesday.
    Davis hinted at further job cuts or furloughs as the discounter scrambles to cut costs, according to a memo viewed by CNBC.
    Spirit filed for Chapter 11 bankruptcy protection last month for the second time in a year.

    A Spirit Airlines Airbus A320 taxis at Los Angeles International Airport after arriving from Boston on September 1, 2024 in Los Angeles, California. 
    Kevin Carter | Getty Images News | Getty Images

    Spirit Airlines CEO Dave Davis on Wednesday braced staff for more job cuts and said the carrier plans to slash its schedule in November to reduce costs weeks after declaring its second bankruptcy in less than a year.
    The airline is planning its November schedule and Davis told employees in a memo, which was reviewed by CNBC, that they will see a 25% cut in capacity over 2024 “as we optimize our network to focus on our strongest markets.”

    Read more CNBC airline news

    The struggling discount carrier is in negotiations with vendors and aircraft lessors as it tries to shrink itself to more stable footing.
    “These evaluations will inevitably affect the size of our teams as we become a more efficient airline,” Davis wrote in his note to employees. “Unfortunately, these are the tough calls we must make to emerge stronger. We know this adds uncertainty, and we are committed to keeping you as these decisions are made.”
    Spirit didn’t immediately comment on Davis’ note.
    Davis said the company is also planning to meet with the airlines’ union leaders in the coming weeks. The airline has already announced furloughs and demotions of hundreds of pilots. Some flights attendants have already taken voluntary unpaid leaves of absence.
    Spirit, known for its bright yellow planes, low fares and myriad fees, had been successful but high costs, shifting travel preferences and increased competition from larger rivals threw the airline off course. A failed acquisition by JetBlue Airways left the carrier on its own.

    Spirit emerged from bankruptcy in March, with its leaders hoping to find more stable financial footing. But the carrier avoided big changes in the process and instead focused on a deal with its bondholders, which exchanged almost $800 million in debt for equity, and it was greeted after bankruptcy with persistently higher costs and weaker-than-expected domestic travel demand.
    It reported that it lost nearly $257 million since March 13, after it exited Chapter 11, through the end of June.
    Earlier this month, Spirit announced flight cuts to 11 destinations and said it wouldn’t start a 12th as planned, while competitors like United Airlines, Frontier Airlines and JetBlue Airways have unveiled plans for new flights to try to win over Spirit customers. More

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    Cracker Barrel stock falls as company reports mixed earnings after rebrand controversy

    Cracker Barrel reported fiscal fourth-quarter earnings after the bell on Wednesday, missing on earnings per share but beating revenue estimates.
    The restaurant chain previously faced backlash over its rebrand and subsequently suspended its plans.
    CEO Julie Masino said the company is now focusing on the “guest experience” instead.

    In an aerial view, a Cracker Barrel sign hangs on a sign outside of a restaurant in Florida City, Florida, on Aug. 27, 2025.
    Joe Raedle | Getty Images

    Cracker Barrel Old Country Store said Wednesday that the restaurant chain is focusing on enhancing its experiences for guests after it faced intense backlash over an attempted rebrand earlier this summer.
    The company reported mixed fiscal fourth-quarter earnings Wednesday afternoon, and CEO Julie Masino said the company is “optimistic” about its future as it heads into next year.

    The stock sank roughly 10% in after-hours trading.
    Here’s how the company performed compared with what Wall Street was expecting, based on a survey of analysts by LSEG:

    Earnings per share: 74 cents adjusted vs. 80 cents expected
    Revenue: $868 million vs. $855 million expected

    Masino said Cracker Barrel was grateful for customers voicing their “passion for Cracker Barrel in recent weeks,” and that the company is now switching its focus.
    “We conducted extensive research to inform our strategic plan, but what cannot be captured in data is how much our guests see themselves and their own story in the Cracker Barrel experience, which is what’s led to such a strong response to these changes,” Masino said on a call with analysts Wednesday.
    The company is now focusing on innovating in the kitchen and “areas that enhance the guest experience,” Masino said, with the team aiming to return to a “positive trajectory.”

    Still, Cracker Barrel said it expects total revenue for fiscal 2026 of $3.35 billion to $3.45 billion, compared with the $3.52 billion analysts expected, and a same-store traffic decline of 4% to 7%.
    The company faced backlash last month after it announced a complete rebrand, including a redesign of its logo and a remodeling of its restaurants.
    The new logo scrapped the image of a man sitting on a wooden chair leaning against a barrel, instead moving to a simpler black-and-yellow logo featuring only “Cracker Barrel,” without the “Old Country Store.” It had been the company’s latest move in a “strategic transformation” announced in May 2024 to reenergize the brand.
    The restaurants were also scheduled to undergo remodeling to align with the new vision.
    But the rebrand came under intense scrutiny. Users on social media called it “soulless” and “generic,” and conservatives took to social media site X to argue that the logo change was an attempt to remove the American identity of the brand to cater to diversity, equity and inclusion efforts. The stock sank in the wake of the changes.

    Cracker Barrel’s old and new logo.
    Courtesy: Cracker Barrel

    Cracker Barrel responded to the criticism, saying the company could have “done a better job sharing who we are and who we’ll always be.” The chain said the man from the original logo, Uncle Herschel, would still be featured on the menu and part of the Cracker Barrel “family.”
    President Donald Trump even weighed in on the situation, saying Cracker Barrel “should go back to the old logo, admit a mistake based on customer response (the ultimate Poll) and manage the company better than ever before.”
    The same day, the company announced a stunning reversal, shutting down the rebrand and retaining its original branding.
    “We thank our guests for sharing your voices and love for Cracker Barrel. We said we would listen, and we have. Our new logo is going away and our ‘Old Timer’ will remain,” the company said in a statement.
    Masino said on the Wednesday call that four locations with the modern designs are already being reverted to the traditional “Old Timer” signage.
    “That’s why our team pivoted quickly to switch back to our ‘Old Timer’ logo and has already begun executing new marketing, advertising and social media initiatives leaning into Uncle Herschel and the nostalgia around the brand with more to come,” Masino said on the Wednesday call.
    She added that the company is launching “Front Porch Feedback” on Thursday to build on what Cracker Barrel has received over recent weeks. The new tool will allow reward members to comment directly to team members after every visit, Masino said.
    The company also announced it was suspending all of its restaurant remodels.
    Shares of the company rose after the reversal, mostly restoring its losses. Since its first announcement, Cracker Barrel lost and regained almost $100 million in market value.
    “Cracker Barrel is not just an old country store or a restaurant,” Masino said. “It’s the front porch of America, and we take that very seriously.”

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    Here are five key takeaways from the Fed’s big interest rate decision

    U.S. Federal Reserve Chair Jerome Powell walks away at the end of a press conference, following the issuance of the Federal Open Market Committee’s statement on interest rate policy, in Washington, D.C., U.S., Sept. 17, 2025.
    Elizabeth Frantz | Reuters

    The Federal Reserve on Wednesday delivered on a widely anticipated quarter percentage point interest rate cut that will take its benchmark down to a target range of 4%-4.25%, its lowest in nearly three years. In addition, the central bank’s Federal Open Market Committee provided signals of what’s down the road.
    Here are five key takeaways from the meeting along with Chair Jerome Powell’s news conference:

    While the rate reduction was no surprise, there was plenty of intrigue over what the “dot plot” of individual members’ expectations would show for the future. The upshot: Two more cuts this year, another in 2026 and one more in 2027, all of which would take the funds rate down to around 3%, which the median forecast of the committee sees as “neutral.”
    Markets weren’t sure what to make of it all. An initial rally on the Dow Jones Industrial Average lost a little steam but the blue-chip index still closed up 260 points. However, the S&P 500 and Nasdaq both posted losses. In the Treasury market, yields were lower on the short end but higher for longer maturities, a potential problem for the Fed as it tries to avoid stagflation.
    At least some of the confusion may have come from Powell characterizing the rate move as a “risk management” cut. On top of that, while the FOMC indicated a rapid pace of cutting this year, with moves at the two remaining meetings in October and December, it anticipates just one reduction in each of the next two years and no cuts in 2028. The mix between dovishness and hawkishness left markets queasy.
    The meeting began with a strong whiff of politics as new Governor Stephen Miran attended his first meeting after being sworn in Tuesday. However, Powell gave little indication of tension in the air. “The only way for any voter to really move things around is to be incredibly persuasive, and the only way to do that in the context in which we work is to make really strong arguments based on the data and understanding of the economy. That’s really all that matters, and that’s how it’s going to work,” the chair said.
    While Miran was the only member to cast a vote against the cut, in favor of a larger half-point move, the dot plot showed a wide disparity among officials’ views, underscoring a challenging policy path ahead. Those wanting just one more cut this year lost narrowly, by a 10-9 margin, against those looking for two. Future years also showed a wide distribution of potential outcomes.

    What they’re saying:

    “Maybe they circled the wagons a little bit saying, ‘You know, this new guy Miran’s coming in, it’s obvious what his agenda is. Let’s pull together here and make sure he knows what we’re about and we’re all about the same thing.'” — Dan North, senior economist, Allianz Trade North America, on there only being one dissent, following expectations from some quarters that there would be multiple “no” votes
    “We think that over the next few years the Fed’s primary challenge with their dual mandate of full employment and price stability will in fact be full employment. Again, we are witnessing an economy that is operating well today, companies that are operating very well, but the hiring environment for people is becoming considerably less healthy, and thus, we think this will be the new challenge for the Fed to help solve in the coming months, quarters and years.” — Rick Rieder, chief investment officer of global fixed income at BlackRock and potential successor to Jerome Powell as Fed chair
    “Given the coming changes to Federal Reserve personnel next year, we urge all to take this forecast with more than a grain of salt and would strongly suggest that the Federal Reserve is moving in a direction where it will tolerate inflation well above target.” —Joseph Brusuelas, chief economist at RSM

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    Fed approves quarter-point interest rate cut and sees two more coming this year

    WASHINGTON – The Federal Reserve on Wednesday approved a widely anticipated rate cut and signaled that two more are on the way before the end of the year as concerns intensified over the U.S. labor market even as inflation is still in the air.
    In an 11-to-1 vote signaling less dissent than Wall Street had anticipated, the Federal Open Market Committee lowered its benchmark overnight lending rate by a quarter percentage point. The decision puts the overnight funds rate in a range between 4.00%-4.25%.

    Newly installed Governor Stephen Miran was the only policymaker voting against the quarter-point move, instead advocating for a half-point cut.

    Governors Michelle Bowman and Christopher Waller, looked at for possible additional dissents, both voted for the 25 basis point reduction. All were appointed by President Donald Trump, who has badgered the Fed all summer to cut not merely in its traditional quarter-point moves but to lower the fed funds rate quickly and aggressively.
    In the post-meeting statement, the committee again characterized economic activity as having “moderated” but added language saying that “job gains have slowed” and noted that inflation “has moved up and remains somewhat elevated.” Lower job growth and higher inflation are in conflict with the Fed’s twin goals of stable prices and full employment.
    “Uncertainty about the economic outlook remains elevated” the Fed statement said. “The Committee is attentive to the risks to both sides of its dual mandate and judges that downside risks to employment have risen.”
    Stocks were volatile after the decision was released, with major averages mixed after Chair Jerome Powell characterized the cut as “risk management” rather than something more directed at shoring up a weak economy. Treasury yields also were mixed, falling on short-duration issues but up otherwise.

    “I don’t think that’s risk management. I think that’s steering the ship,” said Dan North, chief economist at Allianz Trade North America. “I think it’s a move where we’re definitely trying to manage the economy and not just say, ‘OK, we’re going to take this little cut here and use it to help prevent anything from getting worse.'”

    Wide range of views

    At his post-meeting news conference, Powell echoed the concerns about the labor market.
    “The marked slowing in both the supply of and demand for workers is unusual in this less dynamic and somewhat softer labor market,” he said. “The downside risks to employment appear to have risen.”
    Powell added the decision to cut puts monetary policy in a “more neutral” position as opposed to previous characterizations of moderately restrictive.
    Along with the rate decision, officials in their closely watched “dot plot” of individual expectations pointed to two more cuts before the end of the year. The grid, however, showed a wide level of disparity, with one dot, possibly Miran’s, pointing to a total of 1.25 percentage points in additional reductions this year.
    The plot is done anonymously, with one dot for each meeting participant, but Miran has been an advocate for much lower rates. Nine of the 19 participants indicated just one more reduction this year, while 10 saw two, which would indicate moves at the October and December meetings. One official did not want any cuts, including Wednesday’s.
    “A majority of the FOMC is now targeting two further cuts this year, indicating that the doves on the committee are now in the driver’s seat,” said Simon Dangoor, head of fixed income macro strategies at Goldman Sachs Asset Management. “We think it would take a significant upside surprise in inflation or labor market rebound to take the Fed off its current easing trajectory.”
    The plot indicated one cut in 2026, significantly slower than current market pricing of three. Traders had fully priced in this week’s move. Officials also indicated another reduction in 2027, as the Fed approaches a long-run neutral rate of 3%. A half-dozen officials saw the long-run rate below the median neutral level.
    Projections released following the meeting on general economic conditions saw slightly faster economic growth than was projected in June, while the outlooks for unemployment and inflation were unchanged.

    Politics in the air

    A stunning level of political drama preceded the meeting, especially for an institution that generally does its business quietly and with few dissenting voices.
    A year ago, against similar worries that a gradual rise in the unemployment rate could be signaling broader weakness, the FOMC approved a jumbo half-point reduction that Trump has said was politically motivated to influence the presidential election in favor of his Democratic opponent, Kamala Harris.
    Trump’s hectoring of the Fed and Miran’s appointment have raised questions over the traditional independence the central bank has had from political influence. Miran also has openly criticized Powell and his colleagues and is generally seen as a loyalist vote for the president and his desire for significantly lower rates.
    The president has said lower rates are needed to bolster the moribund housing market and to reduce financing costs for government debt.
    However, Powell said there was no “widespread support” for a half-point cut at the meeting.

    Conflicting signals

    There was an additional layer of political intrigue this week as a court blocked Trump from removing Governor Lisa Cook, an appointee under former President Joe Biden. The White House has accused Cook of mortgage fraud involving federally backed loans she received for homes she purchased, though no charges have been brought. Cook has denied the accusations.
    Cook was among those who joined the majority in voting for the quarter-point cut.
    Recent signals have shown that economic growth remains solid and consumer spending topping forecasts, though the labor market has been a point of contention.
    On the jobs front, the unemployment rate hit 4.3% in August, still relatively tame by historical standards but the highest since October 2021. Job creation has been stagnant this year, and a recent update from the Bureau of Labor Statistics showed that the economy created nearly a million fewer jobs than initially reported in the 12-month period prior to March 2025.
    Waller in particular has expressed concern that the Fed should ease policy now to head off future issues in the labor market. His name also has been in the mix as a potential successor for Powell, whose term expires in May 2026. 

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    New Trump appointee Miran calls for half-point cut in only dissent as rest of Fed bands together

    Federal Reserve Governor Stephen Miran dissented from the Fed’s decision to lower its key interest rate by a quarter percentage point on Wednesday.
    Miran, the Trump appointee that the Senate confirmed to the Fed Board of Governors just a day before the two-day policy meeting kicked off, preferred a half-point cut.
    The governor was the sole dissenter against the Fed’s decision.

    Stephen Miran, chairman of the Council of Economic Advisers and US Federal Reserve governor nominee for US President Donald Trump, arrives for a Senate Banking, Housing, and Urban Affairs Committee confirmation hearing in Washington, DC, US, on Thursday, Sept. 4, 2025.
    Daniel Heuer | Bloomberg | Getty Images

    Newly-confirmed Federal Reserve Governor Stephen Miran dissented from the central bank’s decision to lower the federal funds rate by a quarter percentage point on Wednesday, choosing instead to call for a half-point cut.
    Miran, who was confirmed by the Senate to the Fed Board of Governors on Monday, was the sole dissenter in the Federal Open Market Committee’s statement.

    Governors Michelle Bowman and Christopher Waller, who had dissented at the Fed’s prior meeting in favor of a quarter-point move, were aligned with Fed Chair Jerome Powell and the others besides Miran this time.
    “It’s interesting that Waller and Bowman both stuck with consensus – despite auditioning for the Fed Chair position – and the newest member, Miran, has leapfrogged them with an even more dovish 50 bps dissent,” said Chris Zaccarelli, chief investment officer at Northlight Asset Management. “It’s possible that they are trying to position themselves as more serious members of the Fed, who are interested in cutting rates 25 bps, but don’t feel the need for draconian cuts.”
    Miran also wants the Fed to go much lower this year than the other Fed governors, who largely see only two more cuts in 2025.
    The illustration below shows the so-called dots for this year for voting Fed members, with one forecast labeled for what is likely Stephen Miran’s vote. The dots are anonymous, so we are assuming Miran is the one rate forecast much lower than the rest of the group for this year. We’ve also added a dot for where President Donald Trump has said he wants the Fed rate. He has called for a rate lower by two to three percentage points.
    The Fed’s dot plot further shows an unusually wide disagreement among FOMC participants on the number of rate cuts in 2026, with some members seeing as many as four cuts then.

    Miran was selected by Trump back in August to fill the seat that was vacated by former Governor Adriana Kugler after she suddenly announced her resignation without stating a reason for doing so. He has said that he will take an unpaid leave of absence as chair of the White House’s Council of Economic Advisors rather than fully resign from the position.
    Miran’s place on the board, which will last until Jan. 31, 2026 when Kugler’s term was due to end, has been viewed by critics as a threat from Trump to the Fed’s independence, as the president has nominated three of the seven members.
    Trump also said in August that he had fired Federal Reserve Board Governor Lisa Cook. However, a federal appeals court ruled earlier this week that he cannot fire her. The White House has said in response that it is going to appeal that ruling to the Supreme Court. More