US inflation persists and $100 oil pressures Fed for 25bp
Business
Inflation in the US is sticking around longer than expected, and now oil prices have jumped past $100 a barrel thanks to tensions in the Middle East.
With prices rising, everyone's watching the Federal Reserve's meeting on September 15-16: Many expect they'll raise interest rates by 25 basis points.
Major banks predict rate hikes
Major banks like Goldman Sachs and J.P. Morgan are now predicting rate hikes too, pointing to stubborn inflation and higher energy costs.
The Fed wants to keep inflation at 2%, but raising rates could slow down the economy, so their next move is under a lot of pressure and will be closely watched.