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Fed's Harmak: I heard that Chairman Powell has an open attitude towards the policy outlook. I expect inflation and the unemployment rate to rise. The Fed should maintain a moderately tight monetary policy. The Fed still has significant deviations in managing its inflation targets. The Fed needs to be cautious about any interest rate cut measures.
The significant weakness in the labor market may prompt the Fed to cut interest rates, and we need to assess the degree and persistence of deviation from policy goals.