Federal Reserve's Daly: Economy Facing Downside Demand Shock Under Controlled Inflation

BlockBeats News, November 10th, Federal Reserve's Daly said that the U.S. economy may be facing a situation of weak demand, while tariff-related inflation currently seems to be under control. Daly is currently not a voting member of the Federal Open Market Committee, and she did not specify what action the upcoming December meeting will take. She said, "To formulate policy correctly, we need to maintain an open mind and delve deeply into the evidence on both sides of the debate."

Daly said: "So far, the impact of tariffs has been largely limited to goods and has rarely spilled over into service sector inflation or inflation expectations, the latter of which remains relatively firmly anchored near our target." (FXStreet)