• Tariffs are a big part of the inflation story
  • Services part of inflation has remained elevated, and this is concerning
  • Starting to see emerging signs of fragility in the labor market
  • I expect 2% inflation in 2027
  • Something is changing in the labor market
  • Job market is still in low hiring, low firing environment
  • Inflation expectations anchored but there are some signs of worry
  • Inflation is a greater concern to me than employment
  • Will be open minded about economy's performance
  • Restrictive monetary policy needed to cool inflation

Hammack is the most hawkish FOMC member. She will be a voter next year. She's not deviating from her prior comments here as she continues to place greater weight on inflation than labour market.

Source: Investing Live