Federal Reserve Governor Brainard: Not in a hurry to cut interest rates, cannot ignore the inflation risks brought about by tariffs.

Federal Reserve's Barkin said on Friday that, given the risk that new import taxes may still raise inflation and with the U.S. job market and consumer spending remaining strong, there is no rush to cut interest rates. In an interview with Reuters, Barkin said, "I don't think these data will make us rush to cut rates... I am very aware that we have not reached our inflation target in four years." Businesses in Barkin's region still expect prices to rise later this year as new tariffs take effect, and import tariffs may increase further in the coming months. In addition, he said that the unemployment rate remains at a low of 4.2%, and there does not seem to be any sign of large-scale layoffs by businesses, which would undermine another goal of the Federal Reserve to maintain maximum employment. Given the uncertain outcome of tariffs, Barkin said, "I must say, the response we still have to make is a wait-and-see approach. It's not stepping on the brakes. Just not stepping on the gas."