In a statement released Friday, Federal Reserve Bank of Cleveland President Beth Hammack said she dissented because the data supported keeping the policy rate stable, according to Reuters.
“Based on my estimate that monetary policy is not far from a neutral stance, I prefer to keep policy steady until we see more evidence that inflation is getting back on track toward our 2 percent target,” Hammack explained.
“Maintaining the target range for the federal funds rate at 4-1/2 to 4-3/4 percent at the December 2024 meeting was the best option given the strength of recent economic data, accommodative financial conditions and my forecast that inflation will remain just above 2 percent over the next year amid a healthy labor market,” he said.
Market reaction
The Dollar Index recovered modestly from session lows following these comments and was last seen losing 0.35% on the day at 108.05.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
