Free Trial

MNI INTERVIEW: Fed Will Cut Rates More Sparingly In '24-Weber

(MNI) OTTAWA

Wage growth should cool and give Powell the scenario he wants, Cleveland Fed academic consultant says.

The Federal Reserve still has scope to lower interest rates this year even with some recent signs it will take longer than expected to cool inflation, Michael Weber, an academic consultant at the Cleveland Fed and the ECB, told MNI.

While recent disappointments in core inflation data will likely push loosening by the FOMC beyond June, there is also evidence the labor market has slowed, the associate professor at University of Chicago's Booth business school said.

Keep reading...Show less
522 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.

The Federal Reserve still has scope to lower interest rates this year even with some recent signs it will take longer than expected to cool inflation, Michael Weber, an academic consultant at the Cleveland Fed and the ECB, told MNI.

While recent disappointments in core inflation data will likely push loosening by the FOMC beyond June, there is also evidence the labor market has slowed, the associate professor at University of Chicago's Booth business school said.

Keep reading...Show less