San Francisco Federal Reserve (Fed) President Mary C. Daly spoke about the Fed's policy outlook during an interview on Fox Business on Friday. 

The San Francisco Fed President since 2018, Mary C. Daly will be rotating from an Alternate Member voting seat to a full Member for the 2024 Fed chair rotation when the Fed next meets on January 31, and she will directly vote on rate operations through the fiscal year.

Key highlights

• Fed's Daly: early signs of faltering in the labor market could trigger policy adjustments.
• It's also important to watch for any rises in delinquency rates as an early indicator of economic weakness.
• Fed needs to get inflation on a consistent trajectory to 2%, need further evidence to feel confident in rate adjustments.
• Markets are premature in thinking rate cuts are just around the corner.
• It is far too early to declare victory on inflation.