Fed set to deliver another big rate hike, debate December downshift By Reuters

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Fed set to deliver another big rate hike, debate December downshift By Reuters
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*FED PREVIEW: POWELL SET TO DELIVER ANOTHER 75BPS RATE HIKE, DEBATE DECEMBER POLICY 'PIVOT' -

- U.S. central bankers are expected to keep their inflation fight in high gear this week, even as they intensify a debate over when to downshift to smaller interest rate hikes so as to avoid sending the world's biggest economy into a tailspin.

Defining that point, or at least its parameters, will be the subject of intense discussion at this week's Federal Open Market Committee meeting.Or is the bar simply that inflation needs to stop getting worse, even if it takes time to actually get better? Projections released at the end of the Sept. 20-21 meeting suggest that most of the Fed's 19 policymakers expect to be able to begin to slow the rate hikes in December and reach a peak policy rate of 4.50%-4.75% in 2023.

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