Not so fast on rate hikes, some Fed officials say
After Federal Reserve chairman Kevin Warsh's speech in Jackson Hole , the markets penciled in an interest rate hike for the central bank's mid-September meeting. Comments from two influential officials now throw those expectations into question. The big picture: With August jobs and inflation data due out before a policy meeting in two weeks, the decision of whether to tighten policy appears to be on a knife-edge. A meaningful contingent of Fed leadership is eager to raise interest rates to address stubbornly high inflation, while another, as Fed governor Christopher Waller put it Thursday morning, channeling John Lennon , is willing to "give disinflation a chance." It's a close enough call that Warsh will likely be able to steer a decision whichever way he prefers. Driving the news: At a Reuters newsmaker event Thursday, Waller noted two consecutive months of improving inflation data. If it continues in August reports over the coming days, he said, "I would be inclined to support" hol
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- Sep 3, 2026