Christopher Waller’s comments opened the door to a potential 50 bp rate hike and were interpreted by markets as clearly hawkish, prompting a modest pullback in S&P 500 futures (US500) and a rebound in U.S. Dollar Index futures (USDIDX). Waller stressed that inflation remains too high, September’s inflation data were unfavorable from the Fed’s perspective, and real interest rates need to rise to maintain an appropriately restrictive monetary policy stance.
-
Waller said he would support a 25 bp rate hike in December even if October CPI shows some improvement compared with September.
-
Waller added that a 50 bp hike could be necessary if monthly core CPI comes in at around 0.3% or higher.
-
In his view, the Fed should at minimum reverse the three previous “insurance” rate cuts.
-
At the same time, Waller stressed that the Fed is not considering raising rates by 150–200 bp or deliberately bringing the economy to a sharp halt.
-
He described the labor market as solid and close to the Fed’s employment objective, while highlighting the broad-based nature of price increases and the risk that the energy shock could prove more persistent.
U.S. CPI data will be released at 13:30 PM GMT Notably, Waller did not refer to the recent decline in oil prices and therefore did not use the move to soften the overall hawkish tone of his remarks.
USDIDX chart (M15 interval)
Source: xStation5
Morning wrap: Equity indices extend rebound. CoreWeave outlook supports Nasdaq? (11.11.2026)
BREAKING: US CPI data higher than expected 🚩 Wall Street reacts
⬇️EURUSD pulls back ahead of CPI
Market Wrap: European Stocks Rise, Infineon Shares Up 5% 🔼 Wall Street Weakens Ahead of U.S. CPI
The material on this page does not constitute as financial advice and does not take into account your level of understanding, investment objectives, financial situation or any other particular needs.
All the information provided, including opinions, market research, mathematical results and technical analyses published on the website or transmitted to you by other means is provided for information purposes only and should in no event be interpreted as an offer of, or solicitation for, a transaction in any financial instrument, nor should the information provided be construed as advice of legal or fiscal nature.
Any investment decisions you make shall be based exclusively on your level of understanding, investment objectives, financial situation or any other particular needs. Any decision to act on information published on the website or transmitted to you by other means is entirely at your own risk. You are solely responsible for such decisions.
If you are in doubt or are not sure that you understand a particular product, instrument, service, or transaction, you should seek professional or legal advice before trading.
Investing in OTC Derivatives carries a high degree of risk, as they are leveraged based products and often small movements in the market could lead to much larger movements in the value of your investment and this could work against you or for you. Please ensure that you fully understand the risks involved, taking into account your investments objectives and level of experience, before trading, and if necessary, seek independent advice.