Fed voting split could fuel market volatility as members diverge on rate cuts

The Federal Reserve may face divided votes on interest rate decisions in upcoming meetings, potentially weakening policy signaling effectiveness, Jin10 reports. Five of the 12 voting members have expressed opposition or skepticism toward further rate cuts, while three governors favor reductions. Threadneedle fixed income portfolio manager Al-Hussaini said a 7-5 split would create chaos for rate markets attempting to price a reasonable path over the next 12 to 18 months, as well as for risk assets seeking Fed policy certainty.