Federal Reserve official Paulson: Adopting a cautious stance towards interest rate decision in December.

Philadelphia Fed President Anna Paulson expressed caution about the interest rate decision meeting next month, as concerns about the weak job market have increased. "Each rate cut brings us closer to the threshold where policy shifts from slightly restraining economic activity to stimulating it. Therefore, I am cautious about the Federal Open Market Committee meeting in December," Paulson said on Thursday local time. "Each rate cut raises the bar for the next rate cut." Despite her caution, Paulson stated at the meeting in Philadelphia: "I am still more concerned about the labor market than about inflation, but I expect to learn more information between now and the next meeting." Paulson added that due to the roughly balanced labor supply and demand, the unemployment rate is "close" to full employment levels. However, most of the new job growth is concentrated in the healthcare and social assistance sectors, which is not a good sign.