"Federal Reserve Stands Firm on Interest Rates Despite Inflation Concerns"

Federal Reserve Governor Christopher Waller stated that recent disappointing inflation data supports holding off on cutting short-term interest rates, but did not rule out potential rate cuts later in the year. He emphasized the need to maintain the current restrictive stance to help keep inflation on a sustainable trajectory toward 2%, while acknowledging that rate cuts could become appropriate as progress is made in lowering inflation. Waller's comments reflect the Fed's cautious approach amid unexpectedly strong inflation, with Chairman Jerome Powell highlighting the need to carefully balance policy risks.