A short-lived bump in tariff-driven inflation could pass quickly enough to allow U.S. interest-rate cuts later this year, especially if tariffs themselves ease, Fed governor Christopher Waller said.

By Michael S. Derby (Reuters) -Federal Reserve Governor Christopher Waller said Sunday that interest rate cuts remain possible later this year even as the Trump administration’s tariff regime is likely to push up price pressures temporarily.

Federal Reserve Governor Christopher Waller said he continues to see a path to interest-rate cuts later this year amid his expectations that tariffs will boost unemployment and temporarily increase inflation.