From Dow Jones & Company:

Richmond Federal Reserve Bank President Tom Barkin stated that any changes to interest rates this year will be determined by economic data, including possible rate hikes. He emphasized the uncertainty and evolving conditions, predicting a soft landing is possible but not inevitable. He also highlighted the potential for more rate hikes if the economy maintains strong growth in 2024, along with other risks to a soft landing. The 10-year Treasury note yield rose close to 4% for the first time since the Fed’s last policy meeting, and the minutes from that meeting were set to be released at 2 p.m. Eastern time Wednesday.

Barkin mentioned that the Fed officials have a “pretty wide” range of estimates for how many cuts might happen, from no cuts to as many as six. He also noted that the 19 top Fed officials expect inflation to settle without additional hikes. Stocks opened lower on Wednesday, and changes to interest rates and inflation remain a major focus of market attention. Barkin urged caution, stating that forecasting is difficult and conditions are ever-evolving. He pointed out that businesses are facing above-normal price increases, highlighting potential impact on inflation era. Barkin also stressed the importance of demand side actions to convince price setters that the inflation era is over.



Read more: Interest-rate moves depend on data, and hikes can’t be ruled out: Fed’s Barkin