Fed's Daly: CPI data was as expected, it's good news for families and businesses

<ul><li>We are committed to getting core inflation down</li><li>There's a lot more info coming in before</li><li>I see slowing in the economy but we're not there yet</li><li>It's still hard to find workers, the economy isn't yet in balance</li><li>Whether we need to hike rates or hold them steady for a longer period, it's premature to project, there is a lot of data left</li><li>We've been watching the data and asking 'does anything we're seeing change the outlook'</li><li>Today's inflation data is a 'good data point'</li><li>If core services ex housing doesn't come down and stalls, that's something I'm watching</li><li>I'm going to hold myself to data dependence</li><li>I would need to really gain confidence that the path of inflation is completely downward. That's not food or energy prices, it's goods price inflation, which is coming down.</li><li>If you look at new leases and new rents, that's pulling things down</li><li>We're going to be watching supercore carefully, that's a big component of spending and it hasn't made much progress so far, we need to see it come back to pre-pandemic levels</li><li>If demand slips below supply, that would be a good indication we could cut rates</li><li>We are a long way from a conversation about rate cuts</li></ul><p>Daly oftentimes acts as a mouthpiece for Powell. This might be a preview of what the Fed says at Jackson Hole.</p>

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