Federal Reserve Governor Christopher Waller said he is prepared to support a reduction in interest rates at next month’s policy meeting, citing weakening labour market conditions and warning against waiting too long, Reuters reported.

At the Economic Club of Miami on Thursday, Waller said a 25 basis point cut at the September 16-17 Federal Open Market Committee meeting would be appropriate, with further reductions possible in the coming months depending on economic data. “The time has come to ease monetary policy and move it to a more neutral stance,” he said, pointing to a neutral rate near 3 percent, below the current 4.25 to 4.50 percent range.

Waller, who dissented from the Fed’s July decision to hold rates steady, argued that inflation is close to the central bank’s 2 percent goal and tariff-driven price pressures should fade by early next year. He added the pace of cuts could vary: “It could be a sequence of cuts; it may be a couple, then you may want to pause.”

Chair Jerome Powell has also highlighted softer job growth, averaging 35,000 since May, while unemployment remains at 4.2 percent.