Fed minutes signal no rush to cut rates as inflation stays sticky
Minutes from the latest FOMC meeting showed officials want more evidence that inflation is easing before lowering rates.
Minutes from the latest FOMC meeting showed policymakers want further evidence that disinflation is durable before beginning rate cuts. A clear majority argued for patience, indicating little appetite to move in the near term.
Traders pushed the expected timing of the first rate cut to September. The dollar index (DXY) climbed 0.4% and 10-year Treasury yields rose 7 basis points to 4.38%.
Several participants flagged persistent housing costs and sticky services inflation as ongoing concerns. Fed Chair Powell's congressional testimony next week will be the next major catalyst for markets.
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