The Red Hat Enterprise Linux operating system must be configured so that the SSH daemon is configured to only use Message Authentication Codes (MACs) employing FIPS 140-2 approved cryptographic hash algorithms.
DoD information systems are required to use FIPS 140-2 approved cryptographic hash functions. The only SSHv2 hash algorithm meeting this requirement is SHA.
The system will attempt to use the first hash presented by the client that matches the server list. Listing the values "strongest to weakest" is a method to ensure the use of the strongest hash available to secure the SSH connection.
How this relates to the STIG checklist: STIG vs SCAP benchmark.