Vice Chair for Supervision Michelle Bowman said on Monday that the time to cut interest rates is approaching amid potential risks to the job market.
* Federal Reserve Bank of Chicago President Austan Goolsbee said, thus far, the surge in tariffs has had a more modest impact on the economy relative to what was expected.
* Investors are looking ahead to testimony by Fed Chair Jerome Powell before the House Financial Services Committee later on Tuesday, though Powell has been cautious about signalling near-term easing.
* Futures markets continue to price in rate cuts beginning at the September policy meeting. * U.S. business activity slowed marginally in June, though prices increased further amid Trump's aggressive tariffs on imported goods, suggesting that an acceleration in inflation was likely in the second half of the year.
* Elsewhere, spot silver was up 0.1% at $36.03 per ounce, platinum fell 0.3% to $1,260.78, while palladium edged down 0.1% to $1,043. DATA/EVENTS (GMT) 0500 Japan Chain Store Sales YY May 0800 Germany Ifo Business Climate, Curr Conditions, Expectations New Jun 1400 U.S. Consumer Confidence Jun.
