(Bloomberg) -- The US Federal Reserve could soon begin easing interest rates if inflation continues on its downward path amid a strong labor market, Boston Fed President Susan Collins said in an interview with the Providence Journal.

Most Read from Bloomberg

• How a Tiny Midwestern Town Became a Mecca for Modern Architecture

• Africa’s Richest City Needs $12 Billion to Fix Infrastructure

• NYC Subway Riders See ‘Exceptionally High’ Air Pollution

• When Climate Funds Pay for Highway Expansion

• New York City Paid $2 Million for Empty Hotel Rooms Meant for Migrants

“If the data continue the way that I expect, I do believe that it will be appropriate soon to begin adjusting policy and easing how restrictive the policy is,” Collins said. “My outlook is for continued gradual reduction back to our 2% target amid a healthy labor market.”

The central bank’s rate-setting panel next meets Sept. 17-18 in Washington.

The US labor market remains strong even though the latest jobs figures came in softer than predicted, Collins added. The July jobs report showed hiring slowed markedly and the unemployment rate rose to 4.3%, its highest level in nearly three years.

Collins said she expects interest rates to be lower in the next few years, though she declined to be more precise on her outlook for the timing and pace of easing.

Collins also said:

• “We’ll have more data before our September meeting, and I don’t want to get out ahead of that.”

• “The economy is growing at a pace that I think should preserve that solid labor market.”

(Updates with jobs report details in fourth paragraph.)

Most Read from Bloomberg Businessweek

• What Happens When Ozempic Takes Over Your Town

• Nate Silver Wants to Teach You How to Be a Better Gambler

• Five Questions for Trump Adviser Scott Bessent

• Made-in-China Goes Upscale as a New Generation of Brands Battles Slowdown

• Mark Zuckerberg Is Laughing at Zuck Memes, Too

?2024 Bloomberg L.P.