Fed’s Daly: There is absolutely no urgency to adjust policy rate

• Labor market is strong, inflation is not falling as rapidly as last year
• With this week’s CPI report, it’s a good time to remind people the Fed is not data-point dependent
• I need to be fully confident inflation is coming down to 2% before considering a rate cut
• There’s a lot of work to do before we can be confident
• There’s too much discussion of how many rate cuts, rather than what we are trying to accomplish

The market is pricing in a 68% chance of a cut in July. We will need a turn lower in inflation data if that’s going to happen.

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