Powell Ally Backs December Rate Cut

San Francisco Fed President Mary Daly said she supports lowering interest rates at the central bank’s meeting next month because she sees a sudden deterioration in the job market as both more likely and harder to manage than an inflation flareup.

- By Nick Timiraos

“On the labor market, I don’t feel as confident we can get ahead of it,” she said in an interview Monday. “It’s vulnerable enough now that the risk is it'll have a nonlinear change.” An inflation breakout, by contrast, is a lower risk given how ta