Dallas Fed President Lorie Logan, a member of the 2026 FOMC voting committee, urged policymakers to be cautious in the coming months, reiterating that falling inflation would not necessarily prompt further rate cuts.
"Even if we get better numbers and it does look like [inflation] is closer to 2 per cent, I think we should be cautious," Mr. Logan said at a moderated discussion in Palm Desert, Calif., on Friday. "Because if the labour market and the broader economy are strong, even in this environment it doesn't necessarily mean there is room for further rate cuts."
The Dallas Fed president's comments echoed those of Ms Logan, who has said interest rates may already be close to neutral - a policy stance that neither stimulates nor restrains economic activity and does not require further rate cuts in the near term, even if inflation weakens.
Federal Reserve Logan: Cooling inflation doesn't necessarily trigger a rate cut
2025-02-17 00:32:41
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