Fed’s Cook Emphasizes Need for ‘Cautious’ Approach to Rate Cuts
- Says risks to job, inflation goals moving into better balance
- Fed governor says disinflation path has been bumpy, uneven
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Federal Reserve Governor Lisa Cook said the US central bank must take a cautious approach to cutting interest rates to allow more time for inflation to slow down in some segments of the economy.
Fed policymakers left rates unchanged at their meeting last week at a two-decade high, and maintained their forecast for three rate cuts this year by a slim margin. Of the 19 Fed officials, nine saw two cuts or fewer in 2024, with two of those officials forecasting no cuts at all.