Cleveland Federal Reserve President Beth Hammack stated that there is no need to adjust interest rates in the coming months, despite inflation remaining above target and data distortions. Hammack highlighted that the cooling of November's CPI might be underestimated due to data issues caused by a government shutdown, suggesting actual inflation could be around 2.9%–3.0%. She prefers to keep the policy rate in the 3.5%–3.75% range at least until next spring, pending a clearer assessment of tariffs' impact on prices and the economy. Hammack also noted that the current rate might be near or slightly below the neutral level.
Cleveland Fed President Suggests No Rate Change Amid Inflation Concerns
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