Federal Reserve's Barkin: Repeated supply shocks are testing the "anchoring" of inflation expectations. According to Golden Jubilee Data on May 22, Fed's Barkin stated that the ability of businesses and consumers to withstand the latest round of supply shocks will determine whether the US central bank can continue to "ignore" higher inflation and not choose to raise interest rates. In a speech prepared for a speech in Raleigh, North Carolina on Thursday, Barkin said, "After inflation has been above our 2% target for more than five consecutive years, it is necessary for us to consider whether the cumulative effect of so many shocks will lead to a loosening of the 'anchor' of inflation expectations." He also said, "For me, the key is how much pressure businesses, consumers, and inflation expectations can still withstand." Barkin also expressed growing concern that the United States may have entered a 'new phase' in which supply shocks will become more frequent. These impacts may come from multiple factors, including increased geopolitical tensions, fragmented trade systems, more extreme weather events, rising government debt, and other structural forces. He also pointed out that currently, the Federal Reserve's monetary policy stance is "in a good position" and can simultaneously address risks in the job market and inflation.