Federal Reserve board member Lael Brainard indicates she's in no hurry to raise interest rates again, comments that could be greeted with relief on Wall Street.
In a speech in Chicago, Brainard says the risk that higher rates will damage a fragile economy exceeds the risk that higher rates will ignite inflation. Economic weakness "counsels prudence," she says.
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Financial markets were on edge before Brainard's speech after several Fed officials have in recent days signaled a willingness to discuss a rate hike at their meeting next week. Low rates have fueled a strong stock market rally, and investors were expecting the Fed to delay a rate increase until December or later.
Brainard is among the Fed's top "doves," who believe the central bank should be cautious about raising rates.