Federal Reserve Bank of Cleveland President Beth Hammack says she's concerned that an "inflationary mindset" might set in during an event hosted by the bank
Fed's Hammack: Expectations Could Shift If No Progress Made On Lowering Inflation
- Growth Has Held Up Well, Job Market Is Stable
- Fed Must Ensure Policy Is At A Restrictive Stance To Lower Inflation
FED’S HAMMACK WARNS INFLATION RISKS REMAIN HIGH
Fed’s Beth Hammack says the biggest risk is persistent inflation becoming embedded in public expectations.
With economic growth holding up and the labor market stable, she warned that strong demand and capital spending could keep inflation elevated.
Hammack said the Fed must maintain a restrictive policy stance until clear progress is made toward lowering inflation.