US Federal Reserve Governor Christopher Waller told CNBC on Friday that the central bank could cut interest rates as soon as July, diverging from the cautious consensus favoring a September move.
Waller argued the Fed should act sooner rather than later to avoid a potential slowdown in the labor market, noting that inflation has remained persistently subdued and recent tariffs have had limited impact: “I’m all in favor of saying maybe we should start thinking about cutting the policy rate at the next meeting,” he said.
His comments came two days after the Fed held rates steady for the fourth straight meeting. President Donald Trump, who nominated Waller during his first term, has pushed for rate cuts to lower borrowing costs on the $36 trillion national debt and has called Fed Chair Jerome Powell “stupid” for not doing so.