Federal Reserve Governor Michael Barr stated on Wednesday that he anticipates further interest rate increases will be necessary to bring inflation down.
He said, "In my baseline scenario, additional policy adjustments are likely needed to ensure inflation returns to the target level in a timely manner. We want to support sustainable and solid economic growth to achieve full employment; price stability is key to reaching this goal."
Barr added that the risks to inflation are higher than those facing the labor market, so "we need to recalibrate policy to put us in a better position, allowing for a more balanced trade-off between the two types of risks associated with our dual mandate."
Comments