In a recent development shedding light on the possible direction of U.S. monetary policy, several Federal Reserve officials have advocated maintaining high interest rates for an extended duration. The statement signifies that Federal officials are not inclined to hasten any rate cuts.
According to King Ten, Cleveland Fed President Mester, New York Fed President Williams, and Richmond Fed President Barkin all expressed on Thursday that the process of inflation reaching the 2% target may take more time than anticipated. This viewpoint indicates a stance in favor of keeping interest rates higher for a while as officials wait for stronger evidence of inflation deceleration.
