Cleveland Fed President Hammack warns one rate hike likely insufficient to curb inflation, citing wage erosion
Federal Reserve Bank of Cleveland President Beth Hammack stated in an interview that a single 25 basis point rate hike would likely not be enough to combat the current inflation, though she did not specify a number. Hammack, who was among three regional bank presidents dissenting at the Fed's late July meeting in favor of a quarter-point rate increase, emphasized the Fed must act to ensure stable prices. She noted that inflation is eroding workers' wage gains and businesses are struggling with higher costs, partly due to energy supply shocks from the Iran War.
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