Susan Collins, President of the Federal Reserve Bank of Boston, indicated that further interest rate cuts are likely as inflation eases and the economy shows signs of strength. In her recent speech, she emphasized a gradual approach to shifting from the current restrictive monetary policy back to a more neutral stance, with decisions on rate cuts being data-driven and made at each meeting. Collins described the economy as being in a 'good place overall,' with inflation trending towards the 2% target and a healthy labor market, while cautioning against hastily easing rates that could disrupt disinflation efforts. As the Fed's December meeting approaches, markets are speculating on whether the current federal funds rate target range of 4.5% to 4.75% will be adjusted. Collins highlighted the need for balance in policy adjustments to avoid weakening the labor market unnecessarily. Overall, her remarks signal a cautious yet optimistic outlook for the U.S. economy amidst ongoing discussions about monetary policy adjustments.