Fed's Bowman
Fed's Bowman

Fed Gov. Michelle Bowman is speaking and says:

  • Will remain cautious on monetary policy
  • If inflation moves sustainably to 2% goal, it will eventually be appropriate to cut interest rates; not yet there
  • Reducing policy rate too soon could result in need for future rate hikes
  • She remains willing to raise policy rate if inflation progress stalls or reverses
  • Latest inflation data suggests slower progress on inflation
  • Economic activity and consumer spending are strong, labor market 'tight'

Bowman is a permanent voting member as the governor on the Federal Reserve Board. Her comments are consistent with delaying tightening. The market is pricing in around 63% chance of a cut in June.