Fed's Daly: It's premature to think rate cuts are around the corner

<ul><li>We have a lot of work left to do on inflation </li><li>It's premature to think rate cuts are around the corner</li><li>Far too early to declare victory</li><li>We need to get inflation on a consistent trajectory to 2%, need more evidence to feel confident to adjust policy rate</li><li>Any early signs that labor market could falter could also trigger policy adjustment</li><li>Important to look at any rise in delinquency rates as an early sign of economic weakness</li></ul><p>The message here is that they're looking for reasons to cut but they haven't found them yet. The question is: How many months of softening economic data would they need to see?</p>

This article was written by Adam Button at www.forexlive.com.