US Edition
Fed officials still foresee rate cut this year, despite war impacts, minutes show
Officials said they would stay nimble as inflation remains above target and labor market risks rise, with markets split on the policy path.
- Federal Reserve officials at their March meeting still expected to lower interest rates this year, according to minutes released Wednesday, despite high uncertainty from the Iran war and tariffs.
- Recent actions against Iran in the Middle East triggered energy cost surges and inflation fears, prompting officials to monitor the situation as hostilities could result in sustained inflation pressure.
- Ultimately, the Federal Open Market Committee voted 11-1 to keep the benchmark overnight borrowing rate between 3.5% and 3.75%, while policymakers noted they must remain "nimble" regarding inflation and hiring.
- Officials expressed concern over flat job growth concentrated in healthcare sectors, while Gross domestic product growth remains sluggish at 1.3% for the first quarter of 2026.
- A ceasefire announced Tuesday evening led to a sharp drop in oil, though Markets largely expect the Federal Reserve to remain on hold through the rest of the year.
15 Articles
15 Articles
It is only when it is clearer whether inflation or the labour market represent the greater risk that the Fed wants to change the interest rate, which is shown in the minutes of the last interest-rate meeting.
Washington, 8 Apr (EFE).- A majority of the members of the Federal Open Market Committee (FOMC) of the U.S. Federal Reserve are in favour of cutting the price of money if inflation cools in the first world economy, as shown by the minutes of its monetary policy meeting held in March and published on Wednesday. In any case, the minutes correspond to a FOMC board held three weeks ago, between 17 and 18 March, at a time when the price of the Texas …
Associated Press News
More Federal Reserve officials see possible rate hikes this year, minutes show
More Federal Reserve policymakers were willing to consider an interest rate hike this year at their March meeting than in January, as higher gas prices stemming from the Iran war threatened to worsen inflation in the coming months.
Fed minutes: many participants judged it would likely become appropriate to lower rates if inflation were to decline in line with expectations
Fed minutes: many participants judged it would likely become appropriate to lower rates if inflation were to decline in line with expectations ... -April 08, 2026 at 02:01 pm EDT MarketScreener
Fed Minutes Show Officials See Dual-Sided Risks from Iran War
Federal Reserve officials wrestled with starkly differing scenarios for the US economy following the outbreak of the Iran war, including one that called for interest-rate cuts and another that would require raising rates.
Coverage Details
Bias Distribution
- 57% of the sources are Center
Factuality
To view factuality data please Upgrade to Premium
