Fed’s Bowman Says Officials Can ‘Afford to Take Time’ With Cuts

Federal Reserve Vice Chair for Supervision Michelle Bowman said she saw merit in waiting to lower rates further given elevated inflation and uncertainty over potential distortions in economic data stemming from last year’s record-long government shutdown.

Bowman said the downside risks to the labor market have not diminished, but she prefers to move policy toward neutral at a more “measured pace” this year.