Waller indicated that he would still favour an interest rate increase in December, even if October's inflation data shows signs of easing. (File Photo)
\n\nUS Federal Reserve Governor Christopher J. Waller has indicated that another monetary policy increase is likely to be necessary at the Federal Open Market Committee's (FOMC) December meeting, with the possibility of a more aggressive move if inflation figures remain stubbornly high. Waller is leaning towards a 25-basis-point increase in the benchmark interest rate, although he has cautioned that policymakers may need to consider raising rates by 50 basis points if October's inflation reading exceeds expectations.
\n\nHis comments, delivered at the Bank of England Watchers Conference in London on Tuesday, underline the Federal Reserve's continued focus on controlling price pressures despite signs of steady economic expansion in the United States.
\n\n"While I am hoping for an improvement over September, even if this occurs, I would still support a 25 basis point increase in the FOMC's policy rate at our December meeting. However, if inflation comes in substantially higher than I expect, more robust action by the FOMC may be called for," he said.
\n\nWaller's latest assessment points towards further monetary tightening, even if the October inflation…
Original source: https://www.timesnownews.com/business-economy
