This is John Batcher, conversation with my colleague Elizabeth Peek about the Federal Reserve and the direction of interest rates, the most expensive money in more than two decades.

About to change.

Liz looks at September, she looks at later in the year,

and looks at the Federal Reserve's nuance, the speeches.

Are they ready to make money cheaper? Are they ready to cut rates?

Elizabeth Peek, more of this tonight, and it's all wrapped up in politics, of course.

Cutting rates in September is controversial, ordinarily speaking, it

boosts the economy.

Here's Liz Peek.

Well, it's a good question.

I think they are pretty confident that the trajectory is downward, which, you know, three or four months ago it backed up again and started to increase.

So this is a change. I think they're pretty optimistic. It's not at two, but it's under three.

That's the PPI, the CPI, and the PCE. All of those indicators are pointing in the right direction.

And now I think they're worried about

unemployment so a hundred percent that they're gonna cut rates in September the only

argument now is 25 or 50 basis points and there's a pretty good chance that they'll cut rates again later in the fall.