Waller says Fed shouldn't 'fight the last war' on inflation but warns hikes still possible

Federal Reserve Governor Christopher Waller has warned that the U.S. central bank may need to raise interest rates soon if inflation—particularly core inflation—remains elevated. In remarks cited by multiple outlets, Waller emphasized the Fed’s commitment to addressing inflation while cautioning against relying on past policy responses. His comments suggest a readiness to act if economic data does not improve, though he acknowledged the need for careful assessment of current conditions rather than past trends.

Coverage from *Investing.com*, *The Wall Street Journal*, *Bloomberg*, *The New York Times*, and *CNBC* highlights Waller’s dual stance: rejecting the idea of 'fighting the last war' on inflation while leaving open the possibility of tighter monetary policy. The remarks come amid ongoing debates over whether the Fed has sufficiently addressed inflationary pressures, with markets closely monitoring for signals on future policy direction. Investors and economists will watch for follow-up statements from Waller or other Fed officials, as well as upcoming economic data—particularly on inflation and employment—to gauge the likelihood of rate adjustments.

The Federal Open Market Committee’s next meeting and subsequent economic reports will be critical in determining whether the Fed acts to cool inflation or maintains its current stance.