Federal Reserve Hawkish: Interest rates are not significantly restrictive, no one hopes for a quick rate cut

Golden Finance reports that Beth Hammack, a hawkish official of the Federal Reserve and President of the Cleveland Fed, stated that interest rates do not have "significant restrictions" and should remain stable for a period of time as officials are waiting for evidence that inflation has returned to the 2% target. Hammack also said it is necessary to monitor inflation expectations and other indicators to assess whether financial conditions are consistent with the Fed's efforts to curb price increases.

In her prepared remarks for a meeting in New York on Thursday, Hammack said: "I believe that monetary policy can be patient as we evaluate our future path, which may mean keeping federal funds rate steady for some time." Hammack's views coincided with several Federal Reserve officials who spoke on Thursday. Although they held varying degrees of caution about economic prospects, no one expressed hope for an immediate rate cut.