Fed's Semi-Annual Monetary Policy Report: More Confidence in Inflation Still Needed Before Cutting Rates

The Federal Reserve's semiannual monetary policy report shows that inflation has made some progress this year, but greater confidence is still needed before interest rate cuts can take place; inflationary pressures related to real estate are expected to gradually decline; although some banks' commercial real estate portfolios are "under pressure", the financial system remains "healthy and resilient"; and liquidity at most domestic banks remains ample. The financial system remains "healthy and resilient", although some banks' commercial real estate portfolios are "under pressure"; and liquidity remains abundant at most domestic banks.