The only Federal Reserve official to dissent from the central bank’s aggressive half-point interest-rate cut earlier this week said she thought it would send the wrong message to markets that inflation was dead.

A Federal Reserve official predicted quarter point rate cuts if data looked ‘fine’. But he also set out a scenario for a pause — or faster reductions.

U.S. Federal Reserve Governor Christopher Waller, one of the more ardent voices in the central bank's battle to hike interest rates to tame inflation, said he supported a larger rate cut this week because he is now worried the pace of price increases is undershooting the Fed's target.