Fed’s Waller Advocates for December Rate Cut Amid Labor Market Concerns
Federal Reserve Governor Christopher Waller reiterated his support for a December interest rate cut, citing labor market uncertainties as the primary concern. "Inflation will retreat," Waller told Fox Business, emphasizing data-driven policy decisions. His stance contrasts with regional Fed presidents who voiced reservations during internal deliberations.
The public divergence among policymakers underscores challenges for Chair Jerome Powell as he navigates his final months leading the central bank. Dallas Fed President Lorie Logan typified the opposition, stating she saw no immediate case for easing without clearer inflation signals.
Analysts note such policy debates are customary during economic transitions, but highlight the unusual transparency surrounding this disagreement. Markets now scrutinize the December 9-10 FOMC meeting as the next decisive moment for monetary policy direction.
