【Federal Reserve Kashkari: If inflation unexpectedly rises before December, it may cause the Fed to pause interest rate cuts】Golden Finance reports that Fed Kashkari stated that, considering the dynamics of the housing market, it may take one to two years for the inflation rate to drop to 2%; he does not want to declare victory over inflation but has ample reason to remain confident. The strong labor market is “encouraging,” and the economy appears to be in a robust state. If inflation unexpectedly rises before December, this may cause the Fed to pause interest rate cuts. In a higher productivity environment, a higher neutral rate means less room for the Fed to cut rates. The threshold for the Fed to stop balance sheet reduction remains quite high, and there is still a long way to go before ending balance sheet reduction. The extent of the Fed's interest rate cuts will depend on the performance of the U.S. economy.