Live Updates > Live Update Details
2025-12-17 21:39:03
[Federal Reserve Governor Waller Says Weak Job Market Supports Continued Rate Cuts] ⑴ Federal Reserve Governor Christopher Waller recently commented on the economic outlook, shifting his views to a significantly more pessimistic stance. Unlike other Fed officials who advocate for rate cuts based on productivity, Waller's rationale is based on poor economic performance. ⑵ Waller stated that the economy may improve in 2026, hoping this will help the job market. Although inflation is currently above target, it is expected to decline in the coming months, and inflation expectations are already anchored. ⑶ He pointed out that the Fed can take a moderate pace without taking drastic action. Current job market conditions suggest the Fed should continue cutting rates, and he believes the federal funds rate is 50 to 100 basis points above neutral. ⑷ Regarding the reasons for the weak job market, Waller said it's difficult to attribute it to tariffs. He reiterated that inflation is under control, the Fed will continue to control inflation, and he sees no significant downside risks from tariffs. ⑸ It is reported that Waller met with Trump this week to discuss his position at the Federal Reserve. Market analysts believe that his current pessimistic economic remarks may not be what the president wants to hear. Some argue that even if Waller gets the position, this incident could cause unnecessary damage to his reputation and credibility.
