The Federal Reserve slashed interest rates last month for the first time since December—but central bank officials were divided over how many more cuts could be on the way this year, meeting minutes show.

Just over half of officials on the Fed’s policymaking panel anticipated two more quarter-point rate cuts before its final meeting in December. That would potentially bring rates to between 3.5% and 3.75%, down from today’s 4% to 4.25%.

A majority of the meeting’s participants noted “upside risks” to inflation, as the Fed balances a dual mandate of maximum employment and price stability.

The Israeli military on Thursday said it has begun preparations to adjust its deployment lines in accordance with the first phase of a peace deal with Hamas, which was announced by President Donald Trump. The deal includes the release of all living hostages held by Hamas in Gaza and a partial withdrawal of Israeli troops from the territory. Trump’s plan proposes three phases of an Israeli troop withdrawal: The final stage would leave roughly 15% of Gaza under Israeli control until “Gaza is properly secure from any resurgent terror threat.”

As the government shutdown stretches into its ninth day, the IRS furloughed nearly half of its workers, a move that came after its contingency plan to use leftover Biden Administration funding to pay workers expired. Most taxpayer services will likely be delayed, including processing of refunds and amended returns, though tax filings and payments are still due.

Elon Musk and X

© Forbes