WS #15731
Cleveland Fed President Lorie Hammack has advocated for restrictive policy, citing the formation of an 'inflationary mindset' among consumers and businesses. This hawkish stance complicates the Federal Reserve's path, suggesting that rate cuts may be paused or slowed if geopolitical energy shocks feed through to core inflation. The market is pricing in a lower probability of an immediate rate hike but remains sensitive to any data that confirms persistent price pressures.
Macro Inflation & Fed Policy
Cleveland Fed President Lorie Hammack has advocated for restrictive policy, citing the formation of an 'inflationary mindset' among consumers and businesses. This hawkish stance complicates the Federal Reserve's path, suggesting that rate cuts may be paused or slowed if geopolitical energy shocks feed through to core inflation. The market is pricing in a lower probability of an immediate rate hike but remains sensitive to any data that confirms persistent price pressures.