Fed’s Barr says bold rate hikes may be needed if inflation fails to ease

Federal Reserve Governor Michael Barr said at an event in Washington on Sept. 1 that inflation remains too high and warned that price pressures could become entrenched after running above target for more than five years. Barr said policymakers could take more time to assess the policy stance if data trends provide confidence that inflation is slowing toward the 2% target. He added that rates would need to be raised aggressively if inflation does not slow by a sufficient margin.