Analysis: The urgency for the Fed to cut rates in the near term has somewhat diminished

Odaily News Institutional analysis indicates that the U.S. unemployment rate remained at 4.4% in December, unchanged from September, alleviating concerns about a jump to 4.6% in November. Although higher than the lows seen during the post-pandemic hiring boom, this unemployment rate remains relatively mild by historical standards. These data may marginalize discussions about the Fed cutting rates in January—with lower unemployment and limited initial jobless claims, officials may not feel a strong sense of urgency to further lower interest rates after three consecutive cuts in 2025. (Jin10)