According to Reuters, Federal Reserve Governor Christopher Waller stated on Wednesday that the Fed should wait to lower its short-term interest rate objective in light of the recent weak inflation data.

Important quotations

“We are not lowering the policy rate quickly.”

“The Fed might have to stick to its current rate target longer than anticipated.”

“Before supporting a rate cut, more inflation progress is required.”

“Requires data from at least a few months to ensure that inflation is approaching 2%.”

“The Fed still anticipates cutting rates later this year.”

“The strength of the economy allows the Fed to take stock of data.”

“Data points to a lower likelihood of rate cuts this year.”

“The economy is expanding at a reasonable rate.”

“The latest data has been disappointing despite the progress on inflation.”

“Data on jobs has shown mixed messages.”

“The Federal Reserve has significantly reduced inflation.”

“The pressure on wages has decreased.”

“Uncertainty about productivity will continue at this rapid pace.”

“The economy has supported the Fed’s cautious approach.”

“Dollar is still the dominant currency by far.”

“The economy is not giving the Fed a case to pursue big rate cuts.”

“Supply chain issues have abated in positive inflation developments.”

“The Baltimore port disaster is unlikely to cause big economic disruptions.”

“A stretch of stronger-than-expected economic and inflation data so far this year argues for delaying cutting the federal funds rate.”

“It appears that the labor market and economic output are still strong, but the rate of inflation reduction has slowed down.”

“I see no urgency in starting to ease monetary policy because of these signs.”

Reaction of the market 

The aforementioned pessimistic remarks draw some purchasers to the US Dollar Index. As of writing, the DXY is up 0.11% for the day at 104.40.