Fed's Waller states a half-point tightening move in December may be needed if Core CPI comes in hot

In today's Fed interest rates news, these are very hawkish remarks from Fed's governor Waller as he's suggesting that a tightening move in December would be warranted regardless of today's inflation data, according to investingLive. The probabilities for a December hike surged to 99% following Waller's comments (the 1% is for a 0.5% hike).

Key points

• Waller stressed that US inflation stays too high and described September's inflation report as disappointing.
• He acknowledged that GDP growth may be slowing in the current quarter.
• He also highlighted fears about the breadth of price rises, suggesting that inflationary pressures stay more widespread than he would like.
• He's been willing to give disinflation a likelihood back in September but has now drastically changed his mind.

Fed interest rates: the details

Waller stressed that US inflation stays too high and described September's inflation report as disappointing. He also highlighted fears about the breadth of price rises, suggesting that inflationary pressures stay more widespread than he would like. He acknowledged that GDP growth may be slowing in the current quarter, though he still anticipates output to expand at a solid pace.

Fed staff analyses point to further producer price rises ahead and flagged that the energy price shock could prove more persistent than initially expected, he noted. He's been willing to give disinflation a likelihood back in September but has now drastically changed his mind.

Why traders are watching Fed interest rates

Expectations for US interest rates sit behind almost every move in the dollar, bond yields and equities. When the outlook for Fed policy changes, traders reprice the whole curve of rate expectations at once.

A more hawkish tone usually supports the dollar and weighs on gold and growth stocks, while a dovish tilt tends to do the opposite. That is why traders read every comment from policymakers closely.

Market reaction and data

On the currency side, the latest ECB daily reference rates (2026-11-09) show EUR/USD 1.1193, GBP/USD 1.3416, AUD/USD 0.6894, NZD/USD 0.5613, USD/JPY 157.95, USD/CHF 0.8187, USD/CAD 1.4103, USD/CNY 6.6728. These are reference fixes, not live quotes.

What to watch next for Fed interest rates

Traders will focus on upcoming comments from Fed officials, the next inflation and labour-market releases, and pricing in rate futures for clues about the timing of the next policy move.

Key scheduled releases on the economic calendar:

• USD Core CPI m/m on Tue Nov 10, 13:30 UTC, forecast 0.2%, previous 0.3%
• USD CPI m/m on Tue Nov 10, 13:30 UTC, forecast 0.3%, previous 0.6%
• GBP GDP m/m on Thu Nov 12, 07:00 UTC, forecast 0.0%, previous 0.1%
• USD Core PPI m/m on Fri Nov 13, 13:30 UTC, forecast 0.3%, previous 0.7%
• USD PPI m/m on Fri Nov 13, 13:30 UTC, forecast 0.4%, previous 1.3%

Follow every update in our Top 10 Forex News Today, read Inflation data: What is the distribution of forecasts for the US CPI? or see all of today's top market news.

FAQ

What is the latest Fed interest rates news?

These are very hawkish remarks from Fed's governor Waller as he's suggesting that a tightening move in December would be warranted regardless of today's inflation data.

How do Fed rate decisions affect forex markets?

Higher US rates tend to attract capital into dollar assets and strengthen the greenback, while lower rates or dovish guidance usually weaken it against other major currencies.

Where does this information come from?

This report is based on coverage from investingLive, checked against market data where available. It is a summary for information only and not investment advice.