Fed Gov. Waller: Wants to see several more months of good inflation data

Fed’s Waller Comments:

• Credit card and auto loan delinquency rates suggest some consumers are under stress.
• Will be closely watching how private domestic final purchases fare in the second quarter.
• Wage growth is still a bit higher than desired, but not excessively high.
• Data on spending and the labor market suggest monetary policy is appropriately set to put downward pressure on inflation.
• The economy seems to be evolving closer to what the Fed expected.
• Data suggests inflation isn’t accelerating.
• April inflation data suggests progress toward the 2% target has likely resumed, but progress was modest.
• Further increases in the policy rate are probably unnecessary.
• An exception would be a significant weakening in the labor market.
• Needs to see several more months of good inflation data before being comfortable supporting an easing in policy.

The title of the speech is:

Little by Little, Progress Seems to be Resuming

Although Fed Gov. Waller wants to see more data, his comments are being characterized less hawkish than what is normal for him.

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This article was written by Greg Michalowski at www.forexlive.com.