MNI BRIEF: Daly Says Fed Can Be 'Careful and Deliberate'

San Francisco Fed President Mary Daly said Friday uncertainty surrounding the economy and economic policy is elevated and it is a reason to keep interest rates on hold. 

"I know from my conversations with business leaders across the Twelfth District that uncertainty surrounding the economy and economic policy is elevated. And economic research will tell you that uncertainty is a source of demand restraint. We are also getting some mixed signals from markets," she said on LinkedIn. "From a monetary policy perspective, all of that is a reason to be careful and deliberate." (See: MNI INTERVIEW: Fed To Cut Just Once Due To Tariffs - Carpenter)

That's because the FOMC has interest rates in a "good place," she said. There are plenty of signs that the economy is "solid," unemployment is still below the median long-run projections, and inflation has moved toward the central bank's 2% goal, Daly said. "What I am seeing is a resilient economy."