The Federal Reserve Collins: If the data supports it, it can further cut interest rates slightly this year

The Fed's Ms Collins said she was open to further rate cuts in anticipation that price pressures would start to abate sometime next year. "A further small cut in policy rates this year may be appropriate, but that would have to be justified by the data," Ms Collins noted. She said she supported the Fed's decision earlier this month to cut rates by 25 basis points to a range of 4-4.25 per cent because it helped risk management in balancing employment and inflation targets. But she added: "I still think it is appropriate to maintain a moderate tightening stance because monetary policymakers need to minimise the risk of further labour market weakness while restoring price stability."