Federal Reserve Member: We will exercise caution in lowering interest rates as the economy remains strong.

Philip Jefferson, a member of the U.S. Federal Reserve, expressed his comments late on Tuesday regarding economic forecasts and future interest rates, stating the following points:

• There is no need to rush into further interest rate cuts as the strong economy makes caution appropriate.
• Interest rates are likely to decline in the medium term.
• I expect inflation rates to continue to decrease, although progress may be slow.
• The U.S. Federal Reserve faces uncertainty regarding government policies.
• I expect economic growth and labor market conditions to remain strong.

The Federal Reserve decided to maintain interest rates at 4.50% during the last meeting at the end of January, which aligned with widespread market expectations, taking a more cautious stance regarding monetary policy moves.