Fed Official Hammack Says Rates May Rise if Inflation Stalls
Cleveland Fed President Beth Hammack says rates may rise if inflation stalls. She noted that oil shocks and job losses create complex policy challenges.
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Federal Reserve Bank of Cleveland President Beth Hammack stated on Friday that the central bank remains focused on moderating inflation, noting that if price pressures do not ease later this year, officials may need to consider tighter monetary policy. While expressing optimism that progress toward the 2% target will continue, Hammack suggested that interest rates in the United States should remain at their current levels for a significant period.
"My expectation has been that inflation would start making progress towards our 2% target."
