Fed’s Waller pushes for Jul. rate cut
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Federal Reserve Governor Christopher Waller's comments come as tensions between Fed Chair Jerome Powell and President Donald Trump have reached a boiling point in recent days.
The higher yields found in the bond market provide a bigger buffer against volatility compared with a few years ago — and greater potential for upside than downside as interest rates change, according to Vanguard.
With the Federal Reserve's July meeting on the horizon, many prospective homebuyers and homeowners are wondering what it could mean for mortgage rates. After years of relatively high borrowing costs, even the slightest dip could open doors for those hoping to buy or refinance. But the path forward is far from clear.
President Donald Trump wants the Federal Reserve to slash interest rates by three percentage points, a massive cut that could push borrowing costs back to pandemic lows. With two seats at the Fed likely opening up soon, he may finally get the chance to reshape the central bank and force the aggressive easing he is demanding.
J.P. Morgan warned in a note that Trump's pressure on the Federal Reserve and threats to fire Chair Powell could undercut central bank independence and increase inflation risks.
The central bank is poised to hold interest rates steady this month, but there could be a path to cut as early as September.
John Williams, president of the New York Fed, suggested he is reluctant to support lowering interest rates ahead of the central bank’s next meeting later this month, arguing that tariffs are likely to drive further inflation.