Economy · Wednesday, September 2, 2026
Fed Governor Barr: inflation “remains too high”; would back a hike if it is not moderating
The File desk · Sep 2, 2026, 1:48 PM UTC
Status
Confirmed from Barr’s Sept. 1, 2026, speech. Footnote 1 says the views are his own, not necessarily those of the Board or the FOMC. This is not an FOMC decision.
On Sept. 1, 2026, at the Second-Chance Lending Forum in Washington, Fed Governor Michael S. Barr said the labor market is stable and growth has been solid, but inflation remains too high. If inflation is not moderating sufficiently, “we should act decisively to raise rates” at the September FOMC (the meeting is Sept. 15–16). Footnote 1 says the views are Barr’s own, not necessarily those of the Board or the FOMC. This is not a Board hike.
Barr said: “But inflation remains too high—and has been for over five years. … If trends in the data give me some confidence that inflation is moderating on a path to 2 percent, then I think we can take a bit more time to assess our policy stance. However, if inflation appears not to be moderating sufficiently, then I think we should act decisively to raise rates.” He tied that discussion to “our September FOMC meeting.” The Federal Reserve’s September 2026 events page lists the FOMC meeting as Sept. 15–16.
Earlier in the same speech he said the labor market is stable, with relatively low unemployment, and that the economy has been growing solidly. Footnote 1: “The views expressed here are my own and are not necessarily those of my colleagues on the Federal Reserve Board or the Federal Open Market Committee.” This file does not treat the remarks as an FOMC decision or a Board rate hike.
What is still unknown or disputed
- The September FOMC decision has not been made. The scheduled meeting is Sept. 15–16.
Primary sources
Every claim in this story is drawn from the documents below. If a fetch failed, that is recorded on the card.
Source 1
Unlocking Opportunities for Workers and Entrepreneurs with a Criminal Record
Board of Governors of the Federal Reserve System (speech by Governor Michael S. Barr) · September 1, 2026
But inflation remains too high—and has been for over five years. At our September FOMC meeting, we will again discuss the outlook for inflation and our policy stance. If trends in the data give me some confidence that inflation is moderating on a path to 2 percent, then I think we can take a bit more time to assess our policy stance. However, if inflation appears not to be moderating sufficiently, then I think we should act decisively to raise rates. The views expressed here are my own and are not necessarily those of my colleagues on the Federal Reserve Board or the Federal Open Market Committee.
https://www.federalreserve.gov/newsevents/speech/barr20260901a.htm