Federal Reserve Governor Michael Barr renewed his case for further interest rate increases on Tuesday, saying elevated energy prices and a surge in artificial intelligence-related investment have disrupted progress toward the US central bank’s 2% inflation target, according to a report by Reuters.
In remarks prepared for the Detroit Economic Club, Barr said inflation remained too high and there was not yet a clear path toward a timely return to the Fed’s target. He also noted that risks to the labour market had eased, while employment conditions remained solid, the report stated.
