Dallas Federal Reserve President Lorie Logan has called for "modestly" higher interest rates, rejecting the notion that recent improvements in inflation data are sufficient to justify a pause or pivot.
Speaking on Thursday, Logan argued that the central bank remains in a losing battle against price pressures and that current policy is not yet restrictive enough to ensure a return to the 2% target.
The remarks add a hawkish counterweight to a growing chorus of Fed officials who have signaled that inflation is peaking.
New York Fed President John Williams indicated on Wednesday that he sees multiple signs of disinflation and described current rates as "well positioned" to manage the latest price dynamics.
Logan’s insistence on further tightening highlights the internal divergence within the Federal Open Market Committee as it prepares for its next policy decision.
Markets are closely watching for clues on the trajectory of the federal funds rate ahead of the July 29 meeting.