Federal Reserve Bank of San Francisco President Mary Daly is really giving very little away.

Earlier:

And now:

  • hard to say if further rate cuts will come now, later in 2025, or when

Daly is often seen as a mouthpiece for Federal Reserve Chair Powell. If so, it appears the FOMC is in a git of a state of indecision.

More now:

  • the labor market is not weak
  • the labor market is not as speedy as it was, its sustainable, and don't want to see further softening
  • once the labor market tips into weakness, its difficult to get it back out
  • rate cut was like taking out insurance ion the labor market
  • this is not stagflation
  • we have work to do on inflation and don't want the labor market to get weak
  • the risk of recession is very low right now
  • the evidence is consistent with tariffs have a one-time impact on inflation
  • interest rate cut will help a little on housing, but even bringing it down to neutral won't fix supply issues that is hurting affordability
Source: Investing Live