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Barr Backs Rate Hike If Inflation Stays Elevated

9/1/2026

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Story summary
  • Fed Governor Michael Barr said he would back an interest-rate hike if inflation does not ease.
  • He warned inflation has stayed above the 2% target for nearly 5½ years, now at 3.7%.
  • Barr noted consumer spending remains resilient while core inflation, excluding food and energy, sits at 3.3%.
  • The Fed will review new consumer and producer price indexes next week.