Jeff Schmid, President of the Federal Reserve Bank of Kansas City (2025 FOMC voting member): Interest rates may be very close to the neutral level for a longer cycle.
If the data improves, I tend to favor a gradual rate cut by the FOMC.
There remains an optimistic emphasis on employment and the economy.
I am &#34;quite optimistic&#34; that inflation will continue to decline.
The Federal Reserve needs to remain vigilant about inflation.
Economic strength will allow the Federal Reserve to maintain patience.
I hope to see the size of the balance sheet continue to decline

Jeff Schmid, President of the Federal Reserve Bank of Kansas City (2025 FOMC voting member): Interest rates may be very close to the neutral level for a longer cycle. If the data improves, I tend to favor a gradual rate cut by the FOMC. There remains an optimistic emphasis on employment and the economy. I am "fairly optimistic" that inflation will continue to decline. The Federal Reserve needs to remain vigilant about inflation. Economic strength will allow the Federal Reserve to maintain patience. I hope to see the size of the balance sheet continue to decrease

Federal Reserve official Schmid: If the data improves, I tend to favor a gradual rate cut by the FOMC