William Dudley served as president of the Federal Reserve Bank of New York from 2009 to 2018.
Greg had the headlines from him overnight:
Dudley's long held previous view was for a rate cut later this year, but:
- "The facts have changed, so I’ve changed my mind. The Fed should cut, preferably at next week’s policy-making meeting,"
The Fed meet on July 30 and 31.
Duds cites:
- the Fed’s efforts to cool the economy are having a visible effect
- signs of slowing growth are appearing in the the labor market
- three-month average unemployment rate rising 0.43% from its low point in the prior 12 months to a rate that could spark a recession, the rate is now very close to "the 0.5% threshold that, as identified by the Sahm Rule, has invariably signaled a US recession"
- inflation continues to slow, not "far above the central bank’s 2% objective"
Info comes via news wire reports.
Dudley
