Dallas Fed President Robert Kaplan reiterated his stance today that it’s premature to cut interest rates due to trade tensions. He noted “it would make sense to let this situation breathe a little bit”. And, “some of these decisions can change. We may see a new announcement and new decisions in the next four or five weeks. He added, “I am concerned…But it is too soon to make a judgment about whether there is any action that would be appropriate.”
He also said that trade with Mexico was “overwhelmingly” in US interest. He warned “if you put sand in the gears of that relationship it is going to bite and affect businesses,” Kaplan said.
