Federal Reserve Governor Paul Waller: Stablecoins bring competition to payment systems, but do not pose a threat

According to Golden Ten Data, Federal Reserve Governor Paul Waller said that stablecoins bring competition to the payment system, but he does not see them as a threat. He said that the Trump administration has not communicated with him about being the chairperson of the Federal Reserve. The economy faces more risks, and the current situation calls for a more neutral level of monetary policy, favoring an accommodative policy rate. The upside risk to inflation is limited. Tariffs will push inflation higher in the short term and gradually subside next year. Without the impact of tariffs, inflation will be close to the 2% target. Delaying interest rate cuts may increase the risk of future aggressive measures. July's rate cut provides room to keep rates unchanged at follow-up meetings. If core inflation remains under control and economic growth is weak, further interest rate cuts are needed, and action should not wait until labor market issues.