Fed Governor Voices Unease Over Inflation Direction

One of the Federal Reserve’s governors said inflation may not be settling as smoothly as hoped. He pointed to the recent price data as a sign that pressures could build again if the policymakers are not careful. Holding rates steady for too long he suggested that risks squeezing the economy harder than the intended. If growth starts to crack under that weight so rate cuts could end up back on the table. The message was clear the path ahead is narrow and the timing will matter more than ever.