Fed's Waller channels his inner John Lennon with a plea to 'give disinflation a chance'

Live updates

1. 12d ago

   Fed's Waller Signals Rate Pause While Awaiting Inflation Data

   Federal Reserve Governor Christopher Waller stated he is inclined to keep interest rates on hold and pleaded to give disinflation a chance. Waller indicated Thursday that he would support maintaining current interest rate policy if ongoing economic data shows continued progress on inflation. However, his upcoming policy decisions and the central bank's next move remain dependent on the August consumer price index report scheduled for release next week. Treasuries rose and bond markets stabilized following his remarks, while oil slipped and the yen jumped.

   Why it matters

   Federal Reserve officials are weighing monetary policy adjustments as financial markets watch for signs of easing price pressures. Christopher Waller noted progress on inflation but cautioned that upcoming economic readings will dictate the central bank's path forward at its next policy meeting. The interplay between incoming data and central bank rhetoric continues to drive movement across Treasury and currency markets.

   What is confirmed

   • Federal Reserve Governor Christopher Waller stated he is inclined to keep interest rates on hold.
   • Waller said his next decision on interest rates will be heavily influenced by August inflation data due next week.
   • Treasuries rose following remarks from the Federal Reserve official noting progress on inflation.

   Still unconfirmed

   • It may not take much to nudge Waller toward supporting a rate hike at the upcoming policy meeting.

   What to watch next

   • The release of the August consumer price index report next week
   • The Federal Reserve's upcoming policy meeting rate decision
   Sources used for this update (8)

   1. WSJ — Stock Market Today: Bonds Stabilize as Oil Slips; Yen Jumps — Live Updates
   2. Reuters — Fed's Waller channels his inner John Lennon with a plea to 'give disinflation a chance'
   3. Bloomberg.com — Treasuries Rise After Fed’s Waller Notes Progress on Inflation
   4. Financial Times — Federal Reserve’s Chris Waller ‘inclined’ to keep interest rates on hold
   5. AP News — Fed’s Waller says central bank’s next rate move depends on upcoming inflation report
   6. finance.yahoo.com — Fed’s Waller Says September Rate Decision Hinges on August CPI
   7. 247wallst.com — The Fed’s Waller Says He’d Hold Rates Steady — But His “If” Is Doing a Lot of Heavy Lifting
   8. finance.yahoo.com — Fed's Waller Signals Support for Policy Pause if Disinflation Continues
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