Fed's Hammack (2026 voter, Hawk) says it is reasonable to keep rates steady for now given uncertainties; Fed may need to act ‘soon’ if inflation trends don’t cool

  • There are risks to waiting for signs high inflation is becoming embedded in economy
  • Main concern is growing risk of persistent inflation pressures
  • Worried monetary policy may not be tight enough to lower inflation
  • Remains firmly committed to getting inflation back to 2%
  • Economy is facing broadening array of factors driving up inflation
  • Sharp energy shocks hard for monetary policy to deal with
  • Unemployment rate is around full employment levels
  • Job market data points to stability
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