Deutsche Bank: New Fed voting committee members in 2025 may generate more dissent

Deutsche Bank economist Matthew Luzzetti said the four regional Fed presidents who will get votes on the Fed's FOMC this year are likely to make more controversial policy decisions. Chicago Fed President Goolsbee is seen as one of the most dovish voices on the committee, while St. Louis Fed President Musalem and Kansas City Fed President Schmid are seen as potential hawks. It is worth noting that neither Musalem nor Schmid had voted on the committee before. Luzzetti said: "The greater the degree of diversity, the greater the possibility of disagreement, especially because if inflation remains high and the labor market is weakening, this will create tension in the Fed's dual mission and make the Fed's response unclear." (Jinshi)