Federal Reserve officials speak out intensively, setting the tone for the June meeting: The suspense of interest rate cuts is left for the second half of the year ❤️

Federal Reserve Chairman Powell delivered a speech on Monday, emphasizing the importance of understanding the impact of international policies on the U.S. economy. He pointed out that since the end of the Bretton Woods system, policymakers need to pay more attention to how fluctuations in the dollar affect American families and businesses. However, he did not directly comment on future monetary policy or the economic outlook this time.

On the same day, several Federal Reserve officials shared their views:

Chicago Fed President Goolsbee (dove, with voting rights this year) believes that the current economic fundamentals are good, and as long as trade uncertainties ease, he supports continuing interest rate cuts. He stated that current data is little affected directly, but future observations are still needed.

Federal Reserve Governor Waller expects tariffs to push up short-term inflation and affect employment, but he still believes that there may be interest rate cuts later this year—provided that core inflation continues to approach the 2% target and the labor market remains robust.

Dallas Fed President Logan stated that the risks of inflation and employment are relatively balanced at present, and the Federal Reserve can maintain patience and wait for more data. She particularly emphasized the need to be cautious about whether price increases caused by tariffs will continue to drive up inflation. Although certain long-term inflation expectation indicators have risen slightly, most officials believe overall expectations remain stable.

Many Federal Reserve officials mentioned that the comprehensive impact of policy changes, such as trade, takes time to manifest in the economy. The market generally expects that the Federal Reserve will keep interest rates unchanged in the June and July meetings, with rate cuts possibly resuming later this year in the second half. The next policy meeting will be held on June 17-18.