Federal Reserve’s 2025 Hawk-Dove Reshuffle: Policy Trends and Emerging Risks 👀
According to the Federal Reserve’s official website, the Federal Open Market Committee (#FOMC ) will welcome four new voting members in 2025: two “hawks,” one “dove,” and one neutral member.
The new members include Chicago Fed President Austan D. Goolsbee, Boston Fed President Susan M. Collins, St. Louis Fed President Alberto G. Musalem, and Kansas City Fed President Jeffrey R. Schmid. They replace Richmond Fed President Thomas I. Barkin, Atlanta Fed President Raphael W. Bostic, San Francisco Fed President Mary C. Daly, and Cleveland Fed President Beth M. Hammack.
Market analysts suggest that the diverse stances among the new members may lead to greater policy disagreements, though there is an overall tilt toward a more hawkish approach. Additionally, the Federal Reserve is set to hold eight meetings in 2025, and the latest dot plot indicates a reduction in rate cuts to just two, with the median interest rate projection rising to 3.9%.
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