May 22, 2024 18:04 GMT
FOMC-disinflation taking longer, hikes mentioned-minutes
EMERGING MARKETS
- (MNI) – Federal Reserve officials believe the fight against inflation is going to take longer than previously expected based on a resurgence of price pressures at the start of the year, minutes from the Fed’s May meeting showed Wednesday.
- “Participants noted disappointing readings on inflation over the first quarter and indicators pointing to strong economic momentum, and assessed that it would take longer than previously anticipated for them to gain greater confidence that inflation was moving sustainably toward 2%,” the minutes said.
- Some officials also appeared willing to contemplate interest rate increases if conditions appear to worsen.
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