Fed's Daly: It's better to ease monetary policy sooner rather than later

Fed's Daly said in a conference call with the media on Thursday that she is more convinced that monetary policy easing should be done sooner rather than later given recent inflation and employment data. "Based on the information we have received so far, including data on employment, inflation, GDP growth and economic outlook, I think some policy adjustments may be necessary," Daly said. But Daly declined to say when she thought it would be appropriate for the Fed to cut interest rates. "At this critical juncture, I have also publicly stated before that I think directive forward guidance, including the number and timing of rate cuts, is actually not optimal," Daly said. Daly pointed out that it is clear that the risks to the Fed's dual goals of price stability and full employment have been better balanced. She believes that monetary policy is working, but "there is still considerable uncertainty about how the economy will develop." (Jinshi)