There was no need for U.S. rate cut this week, Dallas Fed President says

The Marriner S. Eccles Federal Reserve Board's building in Washington, D.C. The Fed lowered its policy rate by quarter of a percentage point on Wednesday.

The U.S. central bank should not have cut interest rates this week and should not do so again in December, Dallas Federal Reserve President Lorie Logan said on Friday, citing a “balanced” labour market in no immediate need of support and inflation that looks likely to stay above policy-makers’ 2 per cent goal for too long.

“This economic outlook didn’t call for cutting rates,” Logan said in remarks prepared for delivery to a Dallas Fed banking conference. “I did not see a need to cut rates this week. And I’d find it difficult to cut rates again in December unless there is clear evidence that inflation will fall faster than expected or