Federal Reserve governor says keeping interest rates unchanged is wise to do amid rising uncertainty

On March 27, Federal Reserve Governor Michael Barr said that as the conflict in the Middle East and other factors complicated the push of inflation to the 2% target, policymakers are qualified to maintain stability in interest rates. Barr emphasized that the impact of tariffs on inflation may persist beyond this year, while also pointing out that both non-housing services inflation and core inflation are high. "Given the considerable uncertainty that developments in the Middle East can create for our economy, as well as other factors I mentioned before, it would be wise to take some time to assess the situation," Barr said in a speech at the Brookings Institution in Washington on Thursday. "Our current policy stance puts us in a good position to maintain policy unchanged while assessing new data, economic prospects and risk balances." (Zhitong Finance)