Source: Reuters
“Citing recent data showing an uptick in inflation and a U.S. economy and labor market that are stronger than previously thought, Federal Reserve Governor Christopher Waller on Monday called for ‘more caution’ on interest-rate cuts ahead. ‘Whatever happens in the near term, my baseline still calls for reducing the policy rate gradually over the next year,’ Waller said in remarks prepared for delivery to a Shadow Open Market Committee conference at Stanford University’s Hoover Institution. The Fed’s policy rate is restrictive, the labor market remains healthy even as labor demand is moderating, and inflation is ‘in the vicinity’ of the Fed’s 2% target. But after the Fed cut the policy rate by a bigger-than-expected half-of-a-percentage point in September, the Fed should now proceed at a ‘deliberate pace’ as long as the labor market doesn’t deteriorate suddenly and inflation continues to head downward as he expects, Waller said.” (10/14/24)
https://www.reuters.com/markets/rates-bonds/feds-waller-calls-more-caution-rate-cuts-2024-10-14/