"Kashkari Supports Patient Approach to Interest Rate Cuts"

Neel Kashkari, president of the Federal Reserve Bank of Minneapolis, believes that the current high interest rates are not harming the economy and suggests that policymakers may have more time before deciding to cut rates. He argues that the neutral rate may be higher than previously estimated, indicating that the current monetary policy may not be as tight as assumed. This perspective aligns with recent statements from Federal Reserve Chair Jerome Powell, who indicated little need to hurry in lowering rates. Kashkari points to various economic data to support his view, while also acknowledging the need to monitor potential signs of economic stress.