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"Fed Mouthpiece": Federal Reserve Vice Chair Signals More Time Needed Before Another Interest Rate Hike

1 hours ago

Nick Timiraos, widely known as the "Fed mouthpiece", reports that Federal Reserve Vice Chair Philip Jefferson has signaled officials may want to wait longer before implementing another interest rate hike, a view that echoes comments from New York Fed President John Williams. Both top Fed officials are now implicitly casting doubt on an October rate hike, just days after investors were steadily increasing their bets on such a move. In a speech, Jefferson stated: "Looking ahead, I believe any future policy adjustments should be determined by careful assessment of data trends, evolving economic outlooks, and the balance of risks. Since the September meeting, yields across all maturities have risen further, indicating investors are reassessing the changing macroeconomic landscape. My colleagues and I need to make our own judgments, which may require more time. I will continue to assess whether underlying trends show inflation is returning to the target level at a sufficiently fast pace. With more data in hand, we may be better able to judge these trends and what monetary policy stance is appropriate."

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