"The Fed Whisperer": Rate Cut Discussions All but Ended, Fed Begins Seriously Discussing Possibility of Rate Hikes

Odaily Odaily News "Fed Whisperer" Nick Timiraos stated that Federal Reserve officials have almost ceased discussing the issue that dominated policy debates over the past two years—whether to cut interest rates—and began to more seriously consider the opposite direction at last month's meeting: whether rate hikes are necessary. The April policy meeting minutes noted: "Many participants emphasized that if inflation continues to persistently stay above 2%, further policy tightening may become appropriate." The April meeting was the last one chaired by Jerome Powell as Fed Chair, and the minutes highlight how the Middle East conflict has reshaped the outlook of the rate-setting committee. Warsh will take over the committee after being sworn in at the White House on Friday. (Jinshi)