Economics

Fed Case to Cut Rates Again Is Supported by U.S. Jobs Slowdown

  • Private-sector weakness could soften resistance to reduction
  • Quarter-point cut seen as more likely than half-point

Photographer: Joshua Roberts/Bloomberg

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The slowdown in U.S. private sector jobs in August lends support to Federal Reserve doves who want an interest-rate cut this month, but probably doesn’t back the more aggressive half-point move that some investors and policy makers have sought.