Federal Reserve official Hammack said 'now is the time to act' on raising interest rates, arguing the central bank still needs to take action against inflation that is straining household budgets, according to CNBC.
Key facts
- Hammack said 'now is the time to act' on raising interest rates.
- She said the Fed still needs to take action against inflation.
- Hammack cited inflation that is straining household budgets.
- The remarks were reported by CNBC on August 27, 2026.
A Federal Reserve official identified as Hammack said ‘now is the time to act’ on raising interest rates, according to CNBC. The comments signal continued support within the central bank for tightening monetary policy in response to inflation.
Hammack said she still thinks the Fed needs to take action against inflation, framing the issue around its impact on everyday consumers. According to CNBC, she pointed specifically to inflation that is straining household budgets.
The remarks emphasize a policy stance focused on curbing price pressures. By stating that the time to act is now, Hammack indicated a preference for moving on rates rather than waiting.
CNBC reported the comments on August 27, 2026. The report attributes the position directly to Hammack, who tied the call for action to the strain inflation is placing on households.
The available reporting does not detail the specific size or timing of any rate move, nor does it outline how other Federal Reserve officials view the question. The focus of the remarks, as reported, was Hammack’s view that action is warranted now.
Why it matters
Interest rate decisions by the Federal Reserve directly affect borrowing costs for households and businesses, from mortgages to credit cards. When a Fed official publicly calls for raising rates to fight inflation, it offers a signal about the direction policymakers may take and the pressures families are facing on everyday costs.
Frequently asked questions
What did Hammack say about interest rates?
According to CNBC, Hammack said 'now is the time to act' on raising interest rates and that the Fed still needs to take action against inflation.
Why does Hammack want the Fed to act?
She cited inflation that is straining household budgets, according to CNBC.
When were the remarks reported?
CNBC reported the comments on August 27, 2026.