Fed's Barkin: Broad-based inflation remains too high, gradual pace of hikes makes sense
TLT•Richmond Fed President Tom Barkin said inflation remains above the central bank’s 2% target and that a gradual pace of rate increases makes sense. He cited solid demand, low unemployment and broad-based price pressures.
1. Barkin on inflation
Barkin said inflation is too high and he is not hearing that it is escalating or diminishing. He described cost pressures from tariffs, oil and diesel, and health care as broad-based and visible, with everyone feeling their effects.
2. Pace of rate increases
With demand solid and unemployment low, Barkin said the policy question is the pace of rate increases and that a gradual pace makes sense.
