Federal Reserve meeting minutes: Officials show clear disagreement on the direction of interest rates, with both the possibility of rate hikes and rate cuts coexisting

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The Federal Reserve’s June policy meeting minutes show clear differences among officials regarding the future direction of interest rates. Some policymakers believe inflation may ease, creating conditions for rate cuts; others are concerned that price pressures will persist and think rate hikes may be needed in the future. At the meeting held on June 16–17, the Federal Reserve unanimously decided to keep the benchmark interest rate unchanged at 3.5% to 3.75%. However, the discussion during the meeting indicates that decision-makers have different views on the interest-rate level by the end of the year. Some officials believe this year’s year-end rate may be close to the current level, or even slightly lower; others believe rates may need to be higher than the current level. The Federal Reserve said that future policy will be adjusted based on economic data such as inflation and employment.
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