As the time has come, interest rates are cut! Daley echoes Powell's dovish tone

San Francisco Fed President Daly believes that the Fed should start cutting interest rates, echoing Powell's views last week, and believes that the timing for policy adjustments has arrived. She emphasized the need to lower the inflation target to 2% and to avoid excessive tightening that could harm the labor market. While there are no clear signs of deterioration at present, attention should be paid to employment indicators. The market expects a reduction space of about 100 basis points this year, and Daly is uncertain about the economic outlook, while expecting recent inflation data to support the intention to cut interest rates