Fed’s Hammack Calls for More Tightening to Bring Inflation Down

Cleveland Fed President Beth Hammack called for further monetary tightening to push inflation back toward the Federal Reserve’s 2% target, warning that the current policy stance may not reduce price pressures quickly enough. Hammack said additional interest-rate increases may be needed, although she did not specify when. She favored smaller and more frequent adjustments, which she said would give businesses and households more time to plan. Businesses are facing higher input costs, and more companies are passing those increases to consumers, Hammack said. If demand no longer restrains prices, inflation could rise further or remain elevated.

Source: TokenPost