Fed's Kashkari Discusses Potential Rate Adjustments Amid Economic Conditions

According to BlockBeats, Federal Reserve official Neel Kashkari stated that if the labor market weakens more than anticipated, the Fed could expedite interest rate cuts. He noted that it is unlikely for inflation to significantly exceed 3% due to tariffs. Kashkari expressed willingness to raise policy rates if economic conditions necessitate such action. He suggested that the neutral interest rate might have increased to 3.1% and remarked that the Fed's policy is not as restrictive as previously thought. While inflation may persist, a substantial rise is considered improbable.