Fed’s Daly: The PCE data is ‘good news’ but the Fed is not done yet

June 28, 2024 at 01:48PM

It’s taking longer for policy to work, but it’s working

I’m looking at scenarios, we will react. It’s too early to tell what we will do

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“I think we’ll continue to see inflation printing above 2%, potentially, through 2025”

That last comment is an interesting one. She is a dove and a voter next year but it’s tough to price in too many cuts if inflation doesn’t get back down. The newswires missed out on the ‘potentially’ word in the comment, which is important, but above 2% is a problem.

This article was written by Adam Button at www.forexlive.com.

Fed’s Daly: The PCE data is ‘good news’ but the Fed is not done yet