The Federal Reserve is expected to announce an interest rate cut decision during its meeting on Wednesday. CBS News MoneyWatch correspondent Kelly O'Grady has more details.

Washington

The Federal Reserve has begun a two-day meeting, with strong expectations from investors that a quarter-point interest rate cut will be announced. Analysts are closely watching for comments from Fed Chair Jerome Powell, particularly regarding the impact of a recent government shutdown on economic data collection and future policy decisions. The meeting also comes amid ongoing concerns about rising inflation and signs of weakness in the labor market. 

Additionally, Amazon has announced plans to cut 14,000 corporate jobs, citing efforts to streamline bureaucracy and invest in growth areas such as artificial intelligence. Despite the layoffs, Amazon is hiring 250,000 seasonal workers, and experts note that while automation and AI may replace some jobs, they are also expected to create new opportunities that will require workforce upskilling.

Federal Reserve likely to cut interest rates

We're also tracking the Federal Reserve kicking off its two-day meeting that starts today And the big question of course is whether the Fed will make a decision to cut interest rates again So let's talk about this with our money expert CBS News money watch correspondent Kelly O'Grady in New York Always good to see you Kelly. So what are you expecting out of this Fed meeting? So I just looked at the odds We are looking at a 98% chance that investors are baking in that we are gonna get a quarter point rate cut tomorrow Now I think the biggest thing sort of so what coming out of the meeting is not going to be whether the Fed cuts interest Rates, but it's going to be in the press conference afterwards when we're going to be able to hear from Fed chair Jerome Powell and there are a couple of things that I'm looking for one How much of an impact is this government shutdown and the lack of the traditional data? That they are used to using in order to inform those decisions How much did it play in this particular one? But also going forward because remember we've been shut down for a number of weeks They haven't been able to gather data that they would utilize going forward for making future interest rate decisions So that's one thing the second thing is what's the bigger concern the fact that inflation continues to tick up or some of the weakness that we've seen in the labor market and then finally We don't get Specifics this time around about where or other how many cuts the Fed expects through the rest of the year and next year as well But we will get to see the split in terms of who voted for a rate cut who voted against it And so I think that Dynamic will be really interesting because last time around we saw that the Fed was pretty divided in how to handle interest rates going forward That's sure to be a headline. Also. There's a headline. I wanted to ask you about today Kelly and that's Amazon making very clear that they're gonna cut 14,000 jobs But you have some pretty important perspective and context on who this will affect who it won't affect and also I'm pretty Fascinated about your thoughts about how AI could impact our future and how this could be sort of a calling card about that So whenever you hear layoffs, especially something of that magnitude 14,000 it's never good. But this is also happening at the same time that Amazon is adding 250,000 holiday seasonal workers So this by no means does it mean that Amazon is in trouble or that consumers aren't spending? Amazon came out today and said look this is coming from the corporate area they say that they have too many layers of bureaucracy and they want to get rid of some of that and then Invest some of those resources into areas that they see as growth platforms for them. So think artificial intelligence I went to I think actually some of the video that's on the screen right now one of the most Technologically advanced Amazon warehouses in the country and they told me that yes AI artificial intelligence Automation it's going to take some jobs, but it's also going to create new opportunities that didn't exist before So read to your point of what does this mean for the overall job market and what AI might do? This is sort of a watershed moment where you are seeing companies like Amazon like others come out and those corporate roles those roles that could Be impacted by AI. I think this is just the beginning of the iceberg But the hope is that that does create new opportunities that we'll need to upskill for But that will be available in the future Important reporting Kelly O'Grady not only giving us all of that data, but going to where the sausage is made so to speak Thank you so much. Good to talk to you friend

Israeli planes and tanks pounded areas in eastern Gaza on Thursday (October 30), Palestinian residents and witnesses said, a day after Israel said it remained committed to a U.S.-backed ceasefire despite launching more lethal bombardments in the territory.

Jerusalem

Middle East Conflict

Israel strikes Gaza after asserting commitment to ceasefire

In the Netherlands, the centrist D66 party looks on course to beat the far right in the national election. Exit polls have predicted Rob Jetten's party will claim victory, which could lead him to become the country's youngest ever prime minister.

Amsterdam

Dutch centrist party wins big in election as far right loses support

President Donald Trump ordered the U.S. military on Thursday (October 30) to immediately resume testing nuclear weapons after a gap of 33 years, minutes before beginning a meeting with Chinese President Xi Jinping.

Trump tells Pentagon to resume testing U.S. nuclear weapons

President Trump said he's reached a deal with Chinese President Xi Jinping that could be signed "very soon." Mr. Trump says the U.S. will reduce tariffs on Chinese goods by 10% as China works to reduce the flow of fentanyl.

Global Tariffs

Trump says he's reached a deal with China's Xi

President Trump will hold a bilateral meeting with Chinese President Xi Jinping. This is their first face-to-face since Mr. Trump returned to the White House. Jessi Mitchell anchors this Special Report.

Gyeongju-si

Trump, Xi Jinping meet face-to-face in South Korea over trade

The Bank of Canada made a 25-basis-point cut to its key interest rate while governor Tiff Macklem suggested rates will hold where they are as long as inflation stays in the target range of two per cent.

Ottawa

Bank of Canada cuts key interest rate to 2.25%

After leaving Jamaica with widespread power outages and flooding, Melissa caused fatal flooding in Haiti that has killed 25 people and hit Cuba with a storm surge.

Port-au-Prince

Hurricane Melissa causes floods in Haiti, killing at least 25

Fentanyl production tops the agenda as the U.S. and China discuss curbing exports tied to the deadly opioid crisis.

Fentanyl crackdown central in U.S.-China talks

APEC members face economic uncertainty amid rising US-China rivalry—South Korea prepares for potential fallout from high-stakes talks.

U.S.-China trade tensions leave South Korea navigating APEC fallout

President Putin announced that the Poseidon super torpedo was successfully tested and cannot be intercepted, marking a new stage in Russia’s naval capabilities.

Moscow

Russia says its successfully tested nuclear-capable underwater drone

The Justice Department has put D.C. prosecutors on leave after they submitted a court memo describing those who attacked the Capitol on January 6, 2021 as "rioters." The filing was in a case involving Taylor Taranto, who was part of the Capitol riot and is currently facing unrelated weapons charges.

DOJ sidelines prosecutors over Jan. 6 'rioters' court filing

Sean Grayson, the former Illinois sheriff's deputy who shot and killed Sonya Massey in her home in 2024, was found guilty of second-degree murder.

Illinois

Ex-officer found guilty of murder in Sonya Massey shooting

President Donald Trump is sending America's largest aircraft carrier to the Caribbean to help stop small boats he says are transporting drugs to the U.S. Trump says the U.S. is in "armed conflict" with Venezuelan drug cartels.

U.S. masses more naval forces off coast of Venezuela

The U.S. Federal Reserve announced Wednesday that it will lower its benchmark interest rate by 0.25 percentage points in its second straight cut.

Fed lowers interest rates by 0.25 percentage points

The police operation was one of the most violent in Brazil’s recent history, with human rights organizations calling for investigations into the deaths.

Rio de Janeiro

Raid on Rio drug trafficking gang leaves at least 64 dead

Hurricane Melissa made landfall in Cuba on Wednesday after ripping through Jamaica. CBS News' Jarred Hill has more details.

Havana

Hurricane Melissa makes landfall in Cuba after slamming Jamaica

U.S. President Donald Trump landed in South Korea on Wednesday (October 29) for the final leg of his Asia trip, optimistic about striking a trade war truce with Chinese President Xi Jinping after summit talks with South Korea's Lee Jae Myung.

Busan

Trump lands in South Korea, hopes to strike deal with China's Xi

The U.S. Embassy in Mali is urging all American citizens to leave the country immediately, warning of rising terror threats and a worsening fuel crisis caused by a jihadi blockade.

Bamako

U.S. Embassy urges Americans to leave Mali immediately

Israeli planes launched strikes in Gaza on Tuesday (October 28) after Israel accused the militant group Hamas of violating a ceasefire in the Palestinian territory, marking the latest test of a fragile deal brokered earlier this month by U.S. President Donald Trump.

Israel strikes Gaza after accusing Hamas of violating ceasefire

Nvidia CEO Jensen Huang said on Tuesday (October 28) that the artificial intelligence chip leader will build seven new supercomputers for the U.S. Department of Energy, and said the company has $500 billion in bookings for its AI chips.

Nvidia will build AI supercomputers for U.S. Energy Department

25 states are suing the Trump administration to stop federal food aid from being suspended amid the government shutdown. All but two of those states, Nevada and Vermont, have a democratic governor.

25 states sue Trump administration over SNAP food stamp funding freeze

A federal judge is ordering a top Border Patrol official in charge of operations in Chicago to give nightly reports to the court after agents were accused of potentially violating limits on their arrest and crowd control tactics.

Chicago

Judge admonishes ICE leader in Chicago after violations

The U.S. military struck four more alleged drug vessels on Monday, killing at least 14 people and leaving one survivor. It marks the 11th time in under two months the U.S. has carried out strikes on vessels allegedly trafficking narcotics.

Caracas

Latest U.S. strikes on alleged drug boats kill at least 14 people

Major League Baseball says it's weighing a ban on all prop betting, which is a wager on an individual player or event that isn't necessarily tied to the outcome.

Los Angeles

MLB weighing ban on all prop betting

Israeli Prime Minister Benjamin Netanyahu said he has ordered the military to carry out powerful strikes on the Gaza Strip. This comes after Israel accused Hamas of violating their fragile peace deal by returning the wrong remains of a hostage.

Netanyahu orders strikes on Gaza over wrong hostage remains

Hurricane Melissa, a massive Category 5 storm, made landfall in Jamaica, barreling in from the Atlantic with 185 mph sustained winds, the National Hurricane Center said. CBS News meteorologist Jessica Burch has more.

Kingston

Hurricane Melissa makes landfall in Jamaica

The ASEAN bloc of Southeast Asian nations and China signed an upgrade to their free trade agreement, which includes sections on digital, the green economy and other new industries, Beijing's Commerce Ministry said.

Kuala Lumpur

China and ASEAN, hit by U.S. tariffs, sign upgraded free trade pact

President Trump met with new Japanese Prime Minister Sanae Takaichi on Tuesday and signed a trade agreement that the countries made over the summer. CBS News' Ramy Inocencio has the latest.

Tokyo

Trump touts trade deals with Japan, heaps praise on new prime minister

Argentina's president, Javier Milei's party, has won a decisive victory in Sunday's mid-term elections. The vote is seen as a support for his economic reforms and drastic austerity measures. In recent weeks, U.S. President Donald Trump had pledged a 40-billion-dollar bailout to bolster Argentina's failing economy and had endorsed Milei publicly.

Buenos Aires

Argentine markets jump after Milei party victory

Venezuela is accusing the U.S. of preparing a false flag attack as the U.S. continues to escalate its military presence in the Caribbean after carrying out multiple deadly strikes on boats the Trump administration said were carrying drugs.

Breakdown