The FOMC statement released by the Federal Reserve on October 30 shows a significant divergence within the Fed regarding interest rate decisions. Governor Milan expressed opposition to the current interest rate resolution, advocating for more aggressive measures and suggesting a 50 basis point cut. In contrast, Governor Schmidt insisted that the current interest rate level should be maintained and opposed any form of rate cuts.

This divergence reflects the complexity of the current economic situation in the United States. Since the beginning of this year, although the inflation rate has risen and remained at a high level, economic data also shows that the overall economy is continuing to expand at a moderate pace.

It is worth noting that the Fed has announced a new policy direction. After planning to end the balance sheet reduction operation on December 1, it will reinvest the principal of the mortgage-backed securities into short-term Treasury bonds. This move could have far-reaching effects on the financial markets.

The internal divergence of opinions within the Fed, along with the upcoming policy adjustments, will undoubtedly attract significant attention from the market. Investors and analysts will closely monitor how these changes may impact economic growth, inflation levels, and the prices of various assets. The future direction of the Fed's policy will continue to be one of the key factors influencing global financial markets.