Fed’s Schmid in a Yahoo finance interview said that recent inflation are higher relative to the job situation.

Comments come ahead of Fed’s Sept. 16–17 meeting and the Kansas City Fed’s annual conference at Jackson Hole.

The highlights of the interview support his more hawkish stance which is not set to cut rates

• No rush to cut rates: Inflation remains above target, labor market still solid.

• Inflation closer to 3% than 2%: Cutting rates now could worsen inflation expectations.

• Caution on “last mile”: Hardest part is getting inflation from ~3% down to 2%; lowering rates prematurely could undermine progress.

• Policy stance: Wants “very definitive data” before changing policy.

• Business sentiment: Despite softer jobs data, Schmid sees optimism among business contacts.

• Current stance on rates: Feels policy isn’t meaningfully restricting the economy at present

Powell to speak Friday: His remarks will be closely watched for policy direction.

Earlier today Feds Bostic imply that because of immigration changes the running rate for a growth scenario in jobs could be more toward the 50K level. This would suggest that the average of the last three months at 35K is a little less than the needed level, but not as bad as previously thought.