Fed Faces Tough Balancing Act on Possible June Rate Cut Amid Mixed Inflation Signals and Divided Officials

Fed faces balancing act between competing economic risks and divided policymakers as it decides on potential June rate cut.

Upcoming inflation data could support June cut if it shows prices declining towards 2% target.

Fed could cut in June even if inflation persists by framing it as a one-off adjustment rather than start of a series.

Divergent Fed official comments reflect split views on appropriate policy response to latest inflation data.

Consensus could shift depending on whether high inflation is seen as temporary noise or evidence of stickier prices.