San Francisco Fed President Daly: Policy Outlook Feels Precarious Amid Inflation Above 2% and Labor Market Volatility

Fed President Mary Daly of the San Francisco Federal Reserve said Feb 6 the path ahead feels precarious as businesses remain cautiously optimistic but households are uncertain. She warned of a potential shift from a "low-hiring, low-firing" to a "no-hiring, more-firing" labor market, with inflation persistently above the FOMC’s 2% target. "We must watch both sides of our dual mandate—price stability and full employment—and neither can be taken for granted," Daly said in a LinkedIn post.