usafed(Fed) Governor Christopher Waller said at an event at the Economic Club of New York (ECNY) on Wednesday that there was “no rush” to ease policy.Rate of interestHe stressed that recent “disappointing” economic data proves that the US central bank should delay or reduce its stance this year.cut interest ratesfrequency. Including the title of the speech, Waller mentioned the words “no rush” four times in his speech.

Waller, one of the most influential ratemakers in the United States, said in prepared remarks that “there has been a lot of progress in reducing inflation over the past year,” but “short-term inflation data shows that progress has slowed,” he told me. And it has also stopped.”

As for the timing of a rate cut, as long as there is no unexpected or material deterioration in the economy, Waller expects to see “at least two months of good inflation data” before cutting interest rates, so that they can keep an eye on inflation. Can have enough confidence. Can be sustainable. “Given the recently released economic data, it is appropriate to reduce the number of interest rate cuts or delay interest rate cuts.”

Waller said strong economic and hiring data gave the Fed time to wait. “I expect to avoid premature cuts in policy rates to avoid a sustained surge in inflation.”

These are Waller’s first comments since last week’s Federal Open Market Committee (FOMC) meeting. At that meeting, policymakers kept the overnight policy rate at 5.25-5.5%, as expected. He also confirmed a forecast made in late 2023 that interest rates would be cut three times this year, assuming the inflation rate would fall to 2% over time. However, this year’s unexpectedly strong inflation has raised doubts about whether the Fed’s forecasts will come true.

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