Federal Reserve Vice Chair Jefferson says no need to adjust policy in the short term

Federal Reserve Vice Chair Jefferson stated that the current interest rate stance is appropriate for a robust economic situation, and there is no need to restart the rate cut measures paused in January in the short term. He expects the downward trend in inflation to reappear later this year, and the economic growth rate may reach about 2.2% in 2026. Jefferson believes the labor market is stabilizing, inflation is expected to return to the 2% target, and economic growth is sustainable. He mentioned that from September to December last year, the Federal Reserve cut rates three times, adjusting the interest rate to the 3.5%-3.75% range, which is close to the "neutral level," achieving a reasonable balance between the two major risks.