Tom Barkin, president of the Federal Reserve Bank of Richmond, described a resilient American economy in a speech delivered on August 13 in Greenville. Real GDP growth has averaged 2.5% annually since 2023, while the unemployment rate stood at 4.1% in July, marking the 58th consecutive month below 4.5%, an unprecedented streak in US history. Real private investment grew at a 9.5% annualized rate in the first half of 2026, compared to a pre-pandemic average of 5.8%. However, Barkin warned of a major risk: US public debt has surpassed $40 trillion, and waning investor appetite for US Treasuries could trigger a painful reckoning.
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