After a bold 50-basis point (bp) cut in September, the Fed dialed down to a 25-bp rate reduction at today’s FOMC meeting. This week on the Basis Points podcast, Kevin Flanagan breaks down how shifting economic data is complicating the path for future rate cuts—and why the Fed might even pause by early 2025 if inflation gets sticky and the labor markets don’t soften as expected.

Basis Point: 1/100th of 1 percent.