Catenaa, Friday, June 20, 2025- US Federal Reserve should consider cutting interest rates at its next meeting, given recent tame inflation data and short-lived shock from Trump tariffs, Fed Governor Christopher Waller said on Friday.
“Any tariff inflation … I don’t think is going to be that big and we should just look through it in terms of setting policy,” Waller said on CNBC’s Squawk Box. “The data from the last few months has been showing that trend inflation is looking pretty good … We could do this as early as July.”
His dovish comments follow a Fed meeting where the central bank held rates steady and indicated they would remain on hold for now.
Fed Chair Jerome Powell said Wednesday the central bank was in no hurry to cut benchmark rates and will remain data dependent, especially as it remains unclear how Trump’s tariffs will impact the economy. Stocks closed slightly lower that day following those remarks.
Trump ripped into Powell again Thursday, saying the Fed Chair is costing the U.S. “hundreds of billions of dollars” by delaying rate cuts.
US stocks were up on Friday after a hefty week marked by the Middle East Conflict. The Dow Jones Industrial Average was up by 0.4%. The S&P 500 climbed 0.% %, and the Nasdaq Composite advanced 0.7%.
For the week, the S&P 500 is up marginally with a gain of 0.1%. The Dow Jones has lost 0.06%, while the Nasdaq has advanced about 1%.
