New Federal Reserve voting member: If the economy remains stable, interest rate cuts may continue later this year

BlockBeats News, January 5 — Anna Paulson, a newly appointed Federal Reserve voting member and President of the Philadelphia Fed in 2026, stated that if the economic outlook remains benign, it may be appropriate to implement moderate additional rate cuts later in 2026. “I expect inflation to ease, the labor market to stabilize, and this year’s economic growth rate to be around 2%. If all these conditions occur, then it is likely appropriate to make some moderate further adjustments to the federal funds rate later this year.” Anna Paulson also mentioned that the risks in the labor market remain high, with the slowdown in labor demand outpacing the supply contraction caused by the Trump administration’s immigration policies. “Although the labor market is under significant pressure, it has not collapsed.”