Fed Minutes: Officials Warn Inflation Risks May Force Higher Rates, AI Investment Becomes New Variable

CoinFeed reported on July 9, citing Jin10, that the minutes of the Fed's June meeting showed that officials did not form a single judgment on the subsequent policy path. If inflation remains high this year, raising interest rates will be seen as a necessary choice; if price pressures ease soon, rates can remain unchanged. The core issue determining the next move is how long the current forces pushing up prices will persist. The divergence reflected in the minutes focused mainly on how the future outlook might change, rather than whether immediate action was necessary at the June meeting. Even the most hawkish officials did not push for an immediate rate hike in June. The minutes said a minority of participants thought there were reasons to raise rates at that time, but ultimately supported holding steady. The minutes showed that the AI investment boom, along with the Middle East conflict and tariff policies, is seen as a factor that could keep prices elevated and prompt the Fed to raise rates.