Federal Reserve Governor Cook: Be prepared to take action if inflation does not slow down soon

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Golden Finance reported that on July 16, the Federal Reserve Governor Cook said on Wednesday that it is wise to wait for inflation to slow down for some time, but if inflation fails to slow down quickly, she is prepared to take action. Cook noted: “I think we should give more time to observe how inflation develops from now on. However, going forward, I still believe the risks remain mainly concentrated on inflation rising, due to the investment frenzy in the AI sector, tariffs, and price pressures stemming from the war in Iran. If we cannot quickly see signs of inflation slowing down, I am ready to take action. I am fully committed to achieving our inflation target; this commitment is steadfast and unwavering.” Cook compared the current situation with that of a year ago, when the inflation rate was far above the Federal Reserve’s 2% target, while the job market appeared stable, but there were risks of both the job market and inflation slowing down. “I’ve noticed that compared with about a year ago, the balance of risks has changed significantly, and currently inflation risks have exceeded employment risks.” she said.
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