Federal Reserve Governor Christopher Waller on Monday voiced support for another interest rate cut at the central bank's December meeting, saying he's grown concerned over a the labor market and the sharp slowdown in hiring.
In an increasingly divided Fed, Waller's comments put him squarely in the came of those looking to ease monetary policy to head off further danger in the jobs picture. Others, including multiple regional presidents, have expressed opposition in recent days to more cuts as they view inflation is a persistent economic threat that could be reignited by additional easing.
"I am not worried about inflation accelerating or inflation expectations rising significantly," Waller said in prepared remarks delivered to a group of economists in London. "My focus is on the labor market, and after months of weakening, it is unlikely that the September jobs report later this week or any other data in the next few weeks would change my view that another cut is in order."
The rate-setting Federal Open Market Committee next meets Dec. 9-10. Markets are divided over which way the panel will swing following consecutive quarter percentage point, or 25 basis point, cuts at meetings in September and October.
