Fed Governor Bostic: Interest Rates May Need to Remain Stable for «a While»

BlockBeats News, March 25th, Federal Reserve Governor Barr (Michael Barr) stated that policymakers may need to keep interest rates at a steady level for "some time" to address significant inflationary pressures well above the central bank's 2% target.

Barr said he supported the Federal Reserve's decision last week to hold the benchmark policy rate unchanged for the second consecutive time. Officials noted that economic uncertainty has increased due to the US-Iran war and raised their expectations for inflation this year. Since the start of the Middle East conflict, oil prices have risen significantly, posing risks of boosting inflation and suppressing economic growth.

Barr called the Middle East situation a "additional risk." He pointed out that high oil prices often quickly pass through to gasoline prices, which is particularly painful for low- and middle-income families. (Wall Street News)