Cleveland Fed President Hammack Rules Out September Rate Cut

Markets are adjusting expectations for a rate cut as the Kansas City Fed's Economic Symposium approaches. Cleveland Fed President Beth Hammack stated there is no case for a September rate reduction, citing persistent inflation trends.

Hammack noted inflation remains high and is affected by tariffs, with full effects expected next year.
Her comments indicate strong support for Fed Chair Jerome Powell's hawkish stance despite some dissenting voices advocating for lower rates.
Former St. Louis Fed President Jim Bullard recently called for policy rates to be reduced by 100 basis points.
Bitcoin reached a record high above $124,000 a week ago, with market expectations for a rate cut at nearly 100%. This has since dropped to 71%, coinciding with a nearly 10% decline in Bitcoin's price to around $112,800.
Powell's keynote address on Friday is anticipated to reinforce concerns about high inflation and a cautious approach to monetary policy adjustments.