After the Iran conflict drove up oil prices and supply chain pressures, several Federal Reserve officials warned that inflation risks were rebounding, interest rates could remain elevated for an extended period, and rates could even be raised again. Musalem said policy risks were tilted toward inflation, with rising prices for key inputs creating greater cost pressures; Goolsbee warned that if oil prices remain elevated for several months, they would impact global supply chains. Oil prices have already exceeded $4.5 per gallon, while the Global Supply Chain Pressure Index reached its highest level since July 2022. Markets expect limited room for rate cuts over the coming year. March PCE data showed inflation rebounding, with core PCE reaching 3.2%, and the Fed could consider raising rates again if necessary.