Many U.S. monetary policymakers have stated that interest rate hikes would likely be necessary if inflation does not decline.
This is indicated by the minutes of the Federal Reserve’s July meeting, released on Wednesday.
At its July meeting—the fifth consecutive one to do so—the Federal Open Market Committee (FOMC) left the federal funds rate unchanged at a range of 3.50%–3.75%. However, Cleveland Fed President Beth Hammack, Minneapolis Fed President Neel Kashkari, and Dallas Fed President Lorie Logan voted to raise the benchmark rate by 25 basis points.