Sept. 15-16 is back in play for a Fed rate increase, with officials saying the decision will hinge largely on the Aug. CPI report due Sept. 11.
Christopher Waller said he would support holding rates steady if inflation keeps moving toward the Fed’s 2% goal, but would consider a hike if the next reading comes in hot.
Growth has remained stronger than many economists expected even as the Iran war drags on, leaving policymakers to balance economic resilience against still-elevated price pressures.
The debate marks a shift from earlier war-era caution: six months into the conflict, the Fed is confronting broader fallout while watching for clearer signs of disinflation.