The Federal Reserve released minutes from its latest meeting, revealing a majority of officials are open to raising interest rates if inflation stays persistently above the 2% target. The central bank currently holds rates at 3.50% to 3.75%, and the minutes suggest a potential shift toward tighter policy if price pressures continue.
Prediction markets now see a 31.5% chance of a rate hike in 2026, up from 28% last week. The odds of a rate cut by June 2026 stand at just 1.2%. The tone signals renewed hawkishness from policymakers as they focus on price stability.
Key dates to watch: the next FOMC meeting and upcoming inflation and employment reports.