• Main
  • Analytics
  • Market News
  • Dallas Fed President Logan: It is difficult to be sure how many cuts may be needed and how soon they may need to happen
Economic news
13.11.2024

Dallas Fed President Logan: It is difficult to be sure how many cuts may be needed and how soon they may need to happen

President of the Federal Reserve Bank of Dallas Lorie Logan stated on Wednesday that, in her opinion, the Fed will most likely need more rate cuts but should proceed with caution.

She warned that if the Fed cuts too far, past neutral, inflation could reaccelerate and the U.S. central bank could need to reverse direction.

Logan also said it is difficult to be sure how many cuts may be needed and how soon they may need to happen. She noted that the economic activity in the U.S. is strong, inflation is easing and the economy is approaching a point that can sustainably deliver both maximum employment and stable prices. However, the Dallas Fed chief highlighted that she sees upside risk to inflation, downside risk to employment and raised uncertainty about the neutral rate.

"I am keeping an open mind, scrutinizing economic data and financial conditions, and listening carefully to business and community contacts as I assess what next steps may be appropriate for monetary policy," she added.

See also