Fed Barkin: The “many” in-house consider the current level of interest rates to be sufficiently tight to contain inflation

ON 13 AUGUST, FOMC, CHAIRMAN BARKIN OF THE RICHMOND FEDERAL RESERVE IN 2027, DELIVERED A SPEECH ON ECONOMIC PROSPECTS. BARKIN DID NOT MAKE IT CLEAR WHETHER HE THOUGHT INTEREST RATES NEEDED TO BE INCREASED, BUT HE NOTED THAT “MANY” OF THE FED BELIEVED THAT THE CURRENT LEVEL OF INTEREST RATES WAS ALREADY SUFFICIENTLY TIGHT TO CONTAIN INFLATION. BALKIN ADDED THAT THERE WAS ALSO REASON TO BELIEVE THAT PRICE PRESSURES WERE ENTRENCHED AND THAT THERE MIGHT BE A NEED TO ACHIEVE THE FED ' S OBJECTIVES THROUGH REDUCED DEMAND OR HIGHER INTEREST RATES。