Federal Reserve Governor Michelle Bowman on Wednesday expressed discomfort with the U.S. central bank cutting interest rates while inflation continues to run above the Fed’s 2% goal, adding a bit more color to her call for a cautious approach to further rate reductions.
“It’s concerning to me that we’re recalibrating policy, but we haven’t yet achieved our inflation goal,” Bowman said at an event in West Palm Beach, Florida.
The remark came in answer to one of several audience questions, a couple of which drew unusually personal responses from the generally reserved policymaker.
Asked about the effect of changes to immigration policy on inflation and low-wage labor, Bowman urged a patient and cautious approach.
Noting that her family’s bank in Kansas primarily serves ranchers and farmers, she said it’s very difficult to find people to work in agricultural jobs.
“We need people to work across this country and we need policies that will facilitate that,” she said.