Federal Reserve Governor Christopher Waller said recent economic data support keeping interest rates on hold, but if inflation behaves as it did in 2024, policymakers can get back to cutting “at some point this year.

Federal Reserve officials at a meeting last month pointed to rising risks that inflation could worsen, a key reason they kept their benchmark interest rate unchanged.

Federal Reserve Governor Christopher Waller has come out in support of a pause in rate cuts. However, he isn’t ruling out lowering rates later this year.