Summary
- Federal Reserve Governor Michael Barr said a rate hike may be needed if inflation does not slow sufficiently.
- Barr said the US economy is showing solid growth and the labor market remains stable, but inflation is still too high.
- Barr said he would keep rates at current levels if price pressures continue to ease, but persistent above-target inflation remains a key risk factor.
Forecast Trend Report by Period
Federal Reserve Governor Michael Barr said interest-rate increases may be needed if inflation does not slow sufficiently.
Walter Bloomberg reported on September 1 that Barr sees the US economy as showing solid growth and a stable labor market, while inflation remains too high.
He said he would prefer to keep rates at current levels if price pressures continue to ease. But if inflation does not cool soon, a rate increase will be necessary, he added.
Barr also said artificial-intelligence investment is supporting economic growth, but persistent inflation above target remains a key risk.
Minseung Kang
minriver@bloomingbit.ioBlockchain journalist | Writer of Trade Now & Altcoin Now, must-read content for investors.