Regional Fed Presidents, whose vote holds equal weight to that of the chairman, are already indicating that their wait-and-see stance is further warranted by the conflict. Cleveland’s president, Beth Hammack, said rates could be held for “quite some time,” with Iran presenting a new inflationary risk. Likewise, Minneapolis Fed President Neel Kashkari said this week he was growing less confident about his previous estimation of a 25bps cut this year, explaining: “With the geopolitical events, we need to get a lot more data in.”
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