Philadelphia Fed President: Maintaining an Open Attitude Towards the Path of Interest Rates, Further Tightening of Policy Not Ruled Out

Anna Paulson, the President of the Philadelphia Federal Reserve who will have voting rights on the Federal Open Market Committee (FOMC) in 2026, stated on Tuesday that she remains open to the future path of interest rates, with future policy adjustments largely dependent on core inflation trends. If underlying inflation continues to stay elevated, the Federal Reserve may need to further tighten monetary policy to ensure inflation returns to the 2% target.