Chris Waller: Even if tariffs increase inflation, still inclined to lower interest rates this year.

Odaily News The Federal Reserve Board of Governors member Nick Timiraos reported that Federal Reserve Board member Chris Waller expressed that, compared to other colleagues, he remains more confident that the inflation impact from tariffs is temporary and that inflation expectations will remain anchored. He pointed out that although some surveys show that consumers expect inflation to rise, the current labor market is not overheated, and workers lack sufficient bargaining power to push for wage increases. He stated: “I believe that compared to the past few years, workers now do not have much leverage to demand raises, and are instead more concerned about keeping their jobs.” Therefore, even though the labor market conditions are relatively good, he still tends to “look past” the inflation caused by tariffs and supports the baseline expectation of interest rate cuts this year.