"Federal Reserve's Waller Urges Caution in Rate Cuts"

Federal Reserve Governor Christopher Waller acknowledged the likelihood of interest rate cuts this year but advocated for a cautious and methodical approach, countering market expectations for aggressive easing. Waller emphasized the need to carefully monitor inflation and labor market performance before making any decisions, noting that the Fed is close to achieving its 2% inflation goal but requires more information. Market pricing indicates a 71% chance of rate cuts beginning in March, with expectations for a total of seven quarter-percentage point decreases by year-end.