Fed's Barkin: I believe we have a restrictive policy stance

When asked if he will vote in favor of holding policy rate unchanged at the next meeting, "policymakers will have a good debate," Federal Reserve Bank of Richmond President Thomas Barkin said on Tuesday.

Key takeaways

"Recent inflation report was only one report, after several good ones."

"Rate moves work through financial conditions."

"Longer-term rates have moved up, that has tightened conditions."

"The challenge with depending on rates is they can move."

"Don't know where rates will be three weeks from now, given what's happening globally."

"I believe we have a restrictive policy stance."

Market reaction

The US Dollar Index stays under modest bearish pressure following these comments and was last seen losing 0.15% on the day at 106.05.