The governor of the Federal Reserve, Christopher Waller, declared on Friday that he preferred to continue with the current rhythm of balance of the balance in this week’s meeting, according to Reuters.
Key points
“Reduce or stop the reduction will be appropriate as we approach an adequate level of reserves.”
“In my opinion, we have not yet come there because the reservation balances are located in more than 3 billion dollars and this level is abundant.”
“There is no evidence of the indicators of the money market or my conversations that suggests that the banking system is approaching an adequate level of reserves.”
“I think the slower reduction rate that began in June 2024 is still correct.”
“The Fed has tools available to mitigate unexpected disturbances in the market and should trust these and develop a plan to respond to any short -term tension.”
“Even with the new slower rhythm of reduction, a plan is still needed.”
Market reaction
The US dollar index did not show immediate reaction to these comments and was last raised by 0.2% in the day to 103.98.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
