Federal Reserve Bank of Cleveland President Beth Hammack said she remains laser-focused on inflation and officials should be cautious about interest-rate cuts to avoid overheating the economy.
Hammack said there are signs the labor market is still robust despite a recent slowdown in job growth, including low layoffs and a low unemployment rate. Inflation, meanwhile, has been above the Fed’s 2% target for more than four years and may not return to the central bank’s goal for another couple of years, she said.