Fed's Daly Signals Rate Hikes Likely Needed, But No October Move Imminent

San Francisco Fed President Mary Daly acknowledged inflation risks have risen and further rate hikes are more likely than not necessary to control price pressures. However, she signaled little urgency to act at the October 27–28 FOMC meeting, suggesting a pause in the current hiking cycle. This dovish tilt on timing weighs on USD near-term.