Fed notes show inflation concern, cite Iran, keep rates 3.5%-3.75%
The latest Federal Reserve meeting notes show officials are still uneasy about stubborn inflation, which they partly blame on global issues like a conflict involving Iran.
Even though they left interest rates steady at 3.5%-3.75% for now, most hinted that more hikes could be coming if prices don't cool off soon.
Fed officials split on policy direction
Fed officials aren't all on the same page about what to do next: some want to drop hints about future rate cuts, while others think it's time to get tougher on inflation.
Outgoing Chair Jerome Powell said they'll talk more about this "easing bias" at their June meeting.
Meanwhile, thanks to sticky inflation and global disruptions like disruptions in the Strait of Hormuz, markets are now expecting higher rates to stick around longer than many hoped.