Federal Reserve Meeting Minutes: Some participants saw a need for rate hikes, but still supported keeping rates unchanged.

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ME News message: On July 9 (UTC+8), the minutes of the Federal Reserve’s June meeting showed that officials’ concerns about high inflation were increasing. Although officials worried that the scope of price increases was expanding and that it might require rate hikes, they still followed the pace set by Fed Chair Wossh and issued a more concise policy statement. At the June 16–17 meeting, a few participants believed there was reason to raise rates immediately. But the broader discussion appeared evenly split: “most participants” saw a scenario in which inflation would ease on its own back to the Fed’s 2% target, while they also saw a scenario in which inflation would remain persistently high. Nearly all participants holding the latter view believed that if such a scenario occurred, rate hikes would be necessary. The minutes stated: “Participants generally agreed that the information received during the intermeeting period indicated that the upside risks to price stability remained elevated, while the downside risks to achieving maximum employment had been alleviated.” Ultimately, “all participants” supported keeping interest rates unchanged. (Source: Jin10)
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