Federal Reserve Bank of Philadelphia President Anna Paulson suggests further rate cuts may be delayed as economy stabilizes. She sees inflation moderating, growth at 2%, and a need for “modest further adjustments” to funds rate later in the year. Paulson views current rate as slightly restrictive.

Last year, FOMC cut interest rate target by 0.75% in three moves to 3.5-3.75%. Officials aimed to balance lowering inflation and supporting job market. Pressure from Trump for aggressive cuts and differing views on easing persisted. Fed Chair Powell gave little guidance on timing of future cuts at December meeting.

Paulson expresses cautious optimism on inflation and seeks clarity on growth and employment trends. Expects inflation close to 2% by year-end. Labor market shows signs of slowing but not breaking. Supply and demand factors contribute to deceleration, requiring close monitoring as year progresses.

Read more at Yahoo Finance: Fed’s Paulson signals another rate cut could take a while