Fed's Kashkari wants to see ‘many more months' of positive inflation data before a rate cut

LONDON — According to a recent CNBC interview, Neel Kashkari, Minneapolis Federal Reserve President, believes that the Federal Reserve should only consider cutting interest rates after witnessing substantial progress on inflation. Kashkari stated the need for “many more months of positive inflation data” before having the confidence to dial back rates. He also mentioned that if inflation remains high, the possibility of hiking rates should not be ruled out. Divergence among central banks has been observed, with the Fed taking a more hawkish stance compared to other major central banks like the European Central Bank and the Bank of England, who are expected to lower rates.