Waller Eyes Interest Rate Meeting Reduction

Federal Reserve Chairman Waller is considering reducing the frequency of interest rate meetings held annually. This move would be one of the most significant changes in the Federal Reserve's operation in decades and would represent the most substantial policy action since Waller took charge of the central bank.

The proposal, which was introduced at this week's Federal Reserve meeting, aims to reduce the number of interest rate meetings from eight times a year to an unspecified lower frequency. The new meeting schedule may be finalized before the next interest rate meeting in mid-September, although specific changes may not be formally implemented until later.

Reducing the frequency of interest rate meetings would mean fewer voting opportunities for Federal Reserve officials and could weaken the central bank's responsiveness to changes in inflation and employment. This move aligns with Waller's overall style since taking office, which has been characterized by a trend of increasing opacity.