NEC Director Kevin Hassett: We have a good inflation story in terms of the numbers

• Treasury Secretary Bessent suggests the Fed 'wait and see' on rate cuts, acknowledging economic impact from the 'war in Iran' but calling it 'worth it'.
• NEC Director Kevin Hassett believes there is 'room for the Fed to cut' rates, citing high productivity and specific administration policies contributing to lower prices in some sectors (e.g., eggs, beef, drugs).
• Hassett views oil price increases as transient and expects them to reverse, potentially leading to near-zero inflation when combined with low core inflation.

NEC Director Kevin Hassett believes the Fed should consider rate cuts, despite current geopolitical tensions impacting oil prices. He argues that recent inflation drivers, including energy prices, are transient and that core inflation is already low, suggesting a positive outlook for price stability and room for the Fed to act.