BWC Vice Chair Rebecca Patterson joined CNBC’s Squawk on the Street to share her outlook on the Federal Reserve’s next steps. While she expects a December rate cut, Patterson emphasized that the more meaningful developments will come in the new year as the Fed faces several major institutional decisions that could influence policy long beyond the next meeting cycle.

She also noted that the months ahead could bring increased market volatility, with investors recalibrating expectations around inflation, growth, and the Fed’s changing leadership landscape. These turning points, she argues, will shape not just the rate path but the broader direction of U.S. monetary policy.

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All views expressed by members are their own and not reflective of the views of the Bretton Woods Committee.