TechFlow news, on February 18, according to Jinshi reports, Federal Reserve's Daly stated that monetary policy needs to remain restrictive until there is sustained progress on inflation. She noted that the current policy stance is in a good position, allowing flexibility when necessary, but cautioned that any next policy move should be approached carefully.
Regarding the inflation outlook, Daly said inflation is gradually coming down, although the process has been relatively bumpy. On whether further rate cuts will occur this year, she remarked, "The world is full of uncertainty," and emphasized that more information is needed before making decisions, including close attention to labor market conditions. Moreover, since the scope, scale, and timing of the U.S. new administration’s policies are still unclear, it would be unwise to rush into decisions that might later be regretted.
