In an interview with Bloomberg on Tuesday, Minneapolis Federal Reserve Bank President Neel Kashkari said that they have to let inflation and labor data guide them, as reported by Reuters.
Key quotes
"The economy will tell us what the right level of policy stance is."
"If inflation starts to tick back up, that would tell me fed's job is not yet done."
"Economic activity running this hot makes me question if we've done enough."
"No discussion at the Fed about rate cuts."
"Labor market continues to be quite robust."
"Not seeing a lot of evidence the economy is weakening."
"If inflation continues to trend down, that would tell me that it's time to back off."
Market reaction
The US Dollar preserves its strength following these comments. At the time of press, the US Dollar Index was up 0.35% on the day at 105.62.
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