Federal Reserve's Hamak: Leaning towards a tighter stance, current policy is close to neutral.

According to ME, on December 12 (UTC+8), Cleveland Federal Reserve President Hamak stated that she prefers a slightly tighter interest rate stance to continue putting pressure on inflation, which remains excessively high. "Our policy is currently broadly neutral," Hamak said on Friday. "I would prefer a slightly tighter stance to help continue putting pressure on inflation." Hamak does not have a vote this year but will gain voting rights in 2026. When asked if she supported this week's rate cut decision, she did not answer directly, only stating that it was a "complex decision" because policymakers are facing dual pressures from a dual mandate. Hamak also stated that she expects key inflation and employment data to be released in the coming weeks to help policymakers better assess the economic outlook. She also pointed out that the Fed lacks appropriate tools to address structural changes in the economy. (Source: ME)