The president of the Federal Reserve, Hammock, has conveyed a strong message about U.S. monetary policy, frustrating hopes for a rate cut in September.
🔑 Key highlights:
The Fed sees no justification for lowering rates in September based on current macroeconomic data.
Tariffs are just beginning to affect the economy, and their total impact is expected to occur in 2026.
Traditional views that tariffs cause a one-time economic shock may not be applicable this time.
Inflation remains too high and shows signs of acceleration, posing the greatest challenge for the Fed.
