Hammack said that, given uncertainty in the economic outlook, keeping rates
unchanged is reasonable for now but officials may need to act soon to address
rising inflation. She said she is more worried about inflation — which has
exceeded the Fed's 2% target for about five years — than about the still-strong
labor market. Hammack added the Fed's policy rate may not be restrictive, that
she has not heard businesses complain high rates are curbing investment, and
that price pressures are broad-based across goods and non-housing services.
