Federal Reserve Governor Michael Barr says more rate hikes possible
Federal Reserve Governor Michael Barr says more interest rate hikes could be on the way, since inflation is still running higher than the Fed's 2% goal.
Even though the economy's looking strong, Barr made it clear that bringing prices under control is still the main focus.
The Fed already raised rates in September for the first time in three years, moving them up to between 3.75% and 4%, and another hike might happen before year-end.
Fed to balance inflation and growth
Barr pointed out that inflation is still too high and must come down, even as business investment and consumer spending keep supporting jobs.
The Fed's plan is to adjust rates as needed (possibly again in October or December) to help cool down prices while keeping economic growth steady.
Basically, they're trying to balance fighting inflation without slowing things down too much for everyone else.