Federal Reserve Governor Christopher Waller said he leans toward a quarter-point rate hike at the December meeting and would consider a half-point move if October inflation came in hot, Yahoo Finance reported on Nov. 10. Waller spoke in London, according to the report, and said “Inflation is too high.”
According to Yahoo Finance, Waller said he expected monthly inflation to improve in October and that this alone would still support 25 basis points. CoinDesk reported that he favored a hike even if inflation cooled. If October inflation was hotter than expected, Waller said, a 50 basis point hike should be considered, arguing that “Hiking only 25 basis points would put our credibility at risk.”
He called September’s inflation data “bad,” saying “There was no silver lining.” Yahoo Finance said he cited how broadly prices are rising, costlier high-tech goods tied to the AI buildout, and energy costs passing through to consumers, as well as higher ship insurance costs in the Strait of Hormuz and limited diesel refining capacity. Core PCE rose 0.3% in September and 3.1% year over year, hotter than expected, the report added.
The October CPI released later that day showed headline prices up 0.4% and core up 0.3%, above forecasts of 0.3% and 0.2%, CoinDesk reported. Citing CME FedWatch, CoinDesk said traders priced an 85% chance of a 25 basis point hike and 15% for 50 basis points at the Dec. 9 meeting.
Track the market yourself with AiTraderView’s FREE tools: Crypto Cockpit for charts and 75+ indicators, Crypto Screener to find setups, and Crypto Portfolio to follow your holdings. Just create a FREE account and try them yourself!
Sources:
CoinDesk: Bitcoin slips before U.S. inflation report as traders price in Fed rate increase
CoinDesk live news: Traders price in Fed rate hike for December as bitcoin and gold retreat
Investing.com: U.S. inflation data ahead; Huang scandal fallout – what’s moving markets
⚠️ RISK WARNING & AI DISCLOSURE
- This information is generated by Artificial Intelligence (AI) and complex algorithms. While advanced, these systems can contain errors or inaccuracies and are for educational purposes only.
- Technical analysis provides no guarantees; this information is purely informative.
- All discussed scenarios are hypothetical and do not constitute predictions or expectations.
- Past performance is not an indicator of future results.
- This is not financial advice and is not intended as a call-to-action for the reader.
- No implicit direction is claimed, and no specific behavior of market participants is suggested.