Cleveland Fed President Beth Hammack favors a series of modest rate increases as October U.S. data show slower headline inflation but a steady 0.3% monthly core increase, Reuters reported.
At a Nov. 12 discussion with Ohio State University's Fisher College of Business students, Hammack argued that smaller moves made more often would be easier for households and businesses to absorb than larger adjustments. She also supports moving monetary policy into restrictive territory to bring inflation back toward the Fed's 2% goal. The Cleveland Fed's event calendar lists the discussion for 8:30 a.m. ET and provides a recording.
Her latest comments extend a position she has outlined before; EconoTimes previously covered Hammack's support for smaller Fed moves.
The Bureau of Labor Statistics (BLS) said the Consumer Price Index for All Urban Consumers rose 0.4% in October, seasonally adjusted, after a 0.6% increase in September. Its index excluding food and energy rose 0.3% in October, matching the monthly increases in August and September. The figures show headline growth slowing while the core measure continued at the same pace.
BLS said it could not publish 12-month changes for affected series because it did not collect October 2025 data during a lapse in appropriations. The October release therefore lacks its usual annual comparison for those series. The Fed's longer-run 2% inflation goal is measured using the annual change in the personal consumption expenditures (PCE) price index, a separate measure from CPI.
The Federal Open Market Committee (FOMC) held the federal funds target range at 3.75% to 4.00% on Oct. 28, in a 10-2 vote. Fed Governor Lisa D. Cook joined Hammack in dissent, preferring a 0.25-percentage-point increase. The next scheduled FOMC meeting is Dec. 8-9.
