Interest rate message from Fed Administrator Waller
In his speech at an event in New York, Fed Governor Christopher Waller said that they can reduce the rate of increase in the meeting to be held on February 1st.
However, stating that it is too early to declare victory in inflation, Walker said, “Looking at the data, we will experience some turbulence. That’s why I’m in favor of a 25 basis point increase at the next meeting. We still have a long way to go to reach our goal. I support the continuation of monetary tightening,” he said.
Waller also stated that a soft landing is possible in the economy.
Kansas City Fed President Esther George, on the other hand, pointed to the services sector in an interview with Bloomberg, saying that the Fed should be “patient” to see if price pressures subside.
“Inflation is still well above our target,” said George, who is preparing to leave his post at the end of this month. The area I follow is the service sector and whether the inflationary pressures there continue. We must be patient to understand that we are on the right track and to reach our 2 percent target.” he said.