Kashkari On Real Rates Tightening As Inflation Moderates

Kashkari ('23 voter) says rate cuts are a long way away, eyeing potential cut discussions to 2024 or 2025. Paraphrasing his moderated discussion:

• "I'm not ready to say we're done raising rates, but I'm seeing positive signs which say hey we're maybe on our way, we can take a little bit more time to get some more data to see if we need to do more.
• We're a long way away from cutting rates, core inflation still around 4% and need to be confident it's going all the way down to 2%.
• There will come a point in time, and we're not there yet, when one could reasonably argue maybe back off the nominal rate just to keep mon pol at a stable point and not keep tightening in real rate terms (as the inflation rate declines). It's certainly possible it could come some time next year or the year after that."