US Fed's Waller supports potential rate hike in December

Federal Reserve Governor Christopher Waller expressed support for a potential 25 basis point rate hike in December, even if inflation data shows improvement. He indicated that a larger hike could be necessary if core consumer prices rise significantly. Waller emphasized the need for the Fed to maintain its credibility in combating high inflation, which he believes is broadening. Waller's remarks were made in London, where he discussed the upcoming consumer price index data. Economists expect a moderate increase in core CPI, which excludes food and energy prices. He noted that a rise of 0.3% or more would warrant a stronger response from the Fed. The Fed's decision-making process is under scrutiny, especially after last month's decision to skip a rate hike.