Most Federal Reserve officials last month still regarded high inflation as an ongoing threat that could require further interest rate increases, according to the minutes of their July 25-26 meeting released Wednesday.
At the same time, the officials saw “a number of tentative signs that inflation pressures could be abating." It was a mixed view that echoed Chair Jerome Powell's noncommittal stance about future rate hikes at a news conference after the meeting.
Most investors and economists have said they believe July's rate hike will be the last. Earlier this week, economists at Goldman Sachs projected that the Fed will actually start to cut rates by the middle of next year. Overall consumer prices rose 3.2% in July compared with a year earlier, above the previous month’s year-over-year pace because of higher gas and food costs. Still, that is far below the peak inflation rate of 9.1% in June 2022.
Still, the Fed now faces upticks in gas and some food prices, which could keep overall inflation from falling much further in the coming months. And rising costs for services, from auto insurance to restaurant meals to dental services, could keep core inflation persistently high. Data this week suggests that the economy, if anything, is picking up, which could keep inflation sticky at its current elevated level. Consumers are still spending at a healthy pace. A report Tuesday showed that retail sales rose faster than expected last month, fueled by rising online shopping and healthy sales at restaurants and bars, among other categories.
Philippines Latest News, Philippines Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Minutes of U.S. Federal Reserve’s July policy meeting could hint at end of rate hikesThe minutes may show how much faith different groups of Fed officials have in a continued decline in inflation, or whether the bulk of them still feel another rate increase is likely needed
Read more »
U.S. Federal Reserve minutes: Inflation still a threat, could require more rate hikesMost U.S. Federal Reserve officials last month still regarded high inflation as an ongoing threat that could require further interest rate increases, according to the minutes of their July 25 to 26 meeting released Wednesday.
Read more »
Federal Reserve minutes: Too-high inflation, still a threat, could require more rate hikesWASHINGTON (AP) — Most Federal Reserve officials last month still regarded high inflation as an ongoing threat that could require further interest rate increases, according to the minutes of their July 25-26 meeting released Wednesday.
Read more »
Bride Refuses To Reserve Seats For MIL’s Miscarried And Stillborn Children At Her WeddingIt's OK for parents to have some reservations for their kids' weddings. This, however, becomes a problem if their requests are disturbing.
Read more »
Gold prices fall to session lows as the Federal Reserve Minutes signals it might not be done raising interest rates(Kitco News) - Gold prices have fallen to fresh session lows as the Federal Reserve appears to maintain its hawkish bias, leaving its options for another rate hike open as inflation pressures remain elevated, according to the minutes of the central bank’s July monetary policy meeting.
Read more »
Amid calls for RCMP reform, Trudeau receives report on federal mandateThe report is considered confidential for now, but a declassified version must be handed over to Parliament within 30 days of its next sitting.
Read more »