Federal Reserve Bank of Philadelphia President Patrick Harker said on Thursday that now is the time to take stock of past rate hikes' impact and added that the next interest rate decision could go either way depending on data, per Reuters.

Key quotes

"Fed will stay higher for longer, no sign of near-term rate cuts."

"Labor market is moving into better balance."

"Unemployment rate could rise to 4.5% in 2024 before falling."

"Confident that consumers will help achieve soft landing."

"Unclear yet whether consumers have expended spending power."

"Not expecting a recession but growth is likely to cool off."

"Inflation could hit 3% in 2024, 2% after."

Market reaction

The US Dollar showed no reaction to these comments. As of writing, the US Dollar Index was up 0.1% on the day at 105.63.