PANews reported on October 31 that Kansas City Federal Reserve President Schmid said he voted against the Fed's decision to cut interest rates this week, citing concerns that economic growth and investment would put upward pressure on inflation. Schmid stated, "In my judgment, the labor market is generally balanced, the economy is showing sustained momentum, and inflation remains too high." The U.S. Labor Department reported earlier this month that consumer prices rose 3% in the year ending in September, and inflation has been above the Fed's 2% target for more than four consecutive years. Schmid reiterated that businesses in his region are concerned about persistently rising costs, and monetary policy should maintain a certain restraint on demand growth. Schmid said, "I don't think a 25 basis point cut in interest rates would do much to alleviate labor market pressures, which are more likely to stem from technological and demographic changes. However, if markets question the Fed's commitment to the 2% inflation target, a rate cut could have a more lasting effect on inflation." He also stated that current monetary policy is only mildly restrictive, and financial market conditions remain accommodative. This is the first time Schmid, as a Fed official, has voiced dissent.