概要
- Reporter Nick Timiraos stated that despite recent improvements in inflation indicators, the Fed will not cut but rather keep interest rates on hold.
- The Fed announced plans to closely evaluate the effects of Trump's tariff policies on the market and inflation expectations.
- Chief economist Ray Farris also assessed the Fed's wait-and-see stance as appropriate and expressed concerns about rising inflation expectations.
Nick Timiraos, a reporter for The Wall Street Journal (WSJ), argued that the US Fed will not cut interest rates. He is regarded as an unofficial spokesperson for the Fed.
On the 17th (local time), Nick Timiraos stated, "Recent inflation indicators have improved, and there is enough reason to believe the Fed will cut interest rates this week," but he added, "The Fed is expected to keep rates unchanged and remain on hold."
He said that the Fed would continue to analyze Trump’s tariff policy. Timiraos explained, "The Fed will evaluate how tariff policies have affected the market," and "Although prices have risen moderately over the past three months, there is significant concern about how tariff policies may have disrupted inflation expectations."
He added, "Fed officials worry that, since inflation has exceeded the target (2%) over the past four years, inflation expectations may worsen further," and emphasized, "The Fed does not want to make mistakes."
Ray Farris, chief economist at Eastspring Investments, expressed a similar opinion. He said, "It is a very sound decision for the Fed to do nothing and remain on hold," and "The Fed should be uncomfortable with the rise in inflation expectations observed in certain surveys."
Son Min
sonmin@bloomingbit.ioHello I’m Son Min, a journalist at BloomingBit
