Is the economy losing jobs? The Fed’s rate cut hints at bigger worries.

Published: Dec. 12, 2025 at 1:26 p.m. ET

Is the U.S. jobs market even worse than it looks? Most top officials at the Federal Reserve sure seem to think so.

The Fed this week cut its key interest rate for the third meeting in a row, showing it’s more anxious about jobs than even the persistence of elevated inflation. Normally, the Fed focuses on keeping inflation low.