Christopher Waller says he wants a December rate cut and warns the Fed will need flexibility in January

Federal Reserve Governor Christopher Waller said on Monday that he wants a rate cut in December while speaking on Fox Business Network.

Christopher said he is looking at weak job numbers, and he believes the central bank needs to move now, not later. He also said the Fed will likely switch to a “meeting‑by‑meeting” pace once January arrives because a stack of delayed reports will land after the December gathering and could change the picture.

Christopher said, “My concern is mainly labor market, in terms of our dual mandate. So I’m advocating for a rate cut at the next meeting.”He added that things may feel different once the calendar flips.“You may see more of a meeting-by-meeting approach once you get to January.”

His comments came at a time when traders put the December 9–10 meeting at roughly 70% odds for a cut using futures prices. That number has been jumping around because Fed officials have spent the last several weeks arguing in public over what should happen after the cuts in September and October.

Christopher said recent numbers show the labor market “remains weak,” and he said the next batch of reports will hit right after the December decision.

The October and November jobs data will drop on December 16, and the consumer‑price numbers for November come out on December 18.

He said, “If it suddenly shows a rebound in inflation or jobs, or the economy’s taking off, then it might give concern.” He also said, “I still don’t think the labor market is going to turn around in the next six weeks to eight weeks.”

He is also being considered by President Donald Trump as a candidate to replace Jerome Powell as chair next year. Christopher said he had a “great meeting” with Treasury Secretary Scott Bessent, who is handling the interviews.

He said, “He and I seem to hit it off very well, talking about economics, the economy, and financial markets. They’ve never been political. They’re straight about economics.”

Fed members argue while Powell stays silent

Inside the Fed, things are tense. Officials have spent the last several weeks arguing over the December call while Powell stays out of sight.

Cryptopolitan reported that John Williams, who people often treat as Powell’s closest signal, backed a cut on Friday after several other officials spent days leaning the other way.

Powell hasn’t spoken in public since October 29, and now the voting members of the FOMC look nearly split. Some will vote against the decision either way.

Dissent has been rising all year. The Fed hasn’t had a unanimous vote since June, and the government shutdown held back key reports that officials usually use to settle their debates. Former Fed economist Claudia Sahm said Powell’s silence is giving every member the space to speak.

She said, “By Powell not being out there right now, he’s letting every single member of the Open Market Committee have a voice and be listened to. He’s giving them space to have this disagreement, and that’s actually a good thing because this is tough and you should have these debates.”

Markets have been thrown around by all this. Heading into the October meeting, traders thought a December cut was certain. After a wave of tough talk from several officials, the odds dropped under 30%. Then John Williams spoke, and the odds bounced above 60%.

Powell’s usual style of consensus has been the foundation since he became chair in 2018, but that unity is fading. Some analysts say too much unity can lead to group‑think, but others say the split makes communication messy.

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