Richmond Fed’s Barkin: Demand Solid, Economy in Good Shape

Barkin's read splits the picture in a way that matters for rates: resilient demand and healthy revenues on one side, broadly reported cost pressures on the other. That combination argues against reading softer growth data as a reason to ease, and it keeps the inflation side of the mandate in focus. The detail on corporate revenues funding investment and hiring is the more consequential signal, since it suggests the demand strength is self-reinforcing rather than a one-off. Whether reported cost increases keep outpacing that revenue strength is the open question.