The Federal Reserve should consider cutting interest rates at its next meeting given recent tame inflation data and the fact that any price shock from import tariffs will be short lived, Fed governor Chris Waller said on Friday.

Waller on Friday said current U.S. inflation trends “are pretty good,” with the annual rise in consumer prices close to the Fed’s 2% target, possibly justifying an interest-rate cut at the bank’s next meeting. He is the first top Fed official to suggest a rate reduction is feasible at that July 29-30 gathering.