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Fed's Harker: High Inflation Risks, Opposes Further Rate Cuts
According to ChainCatcher, Cleveland Fed President Loretta Mester, a voting member of the Federal Reserve's policy committee in 2026, stated that persistently high inflation levels are unfavorable for the Fed to cut interest rates again. She expressed concern that monetary policy has not adequately prepared for the current inflation situation.
She noted that the current monetary policy is almost non-restrictive and there is no clear reason to take further policy actions. Mester opposed the Fed's rate cut decision last week and warned that the unemployment rate remains low.