Meeting minutes show the Fed may raise rates one more time this year

The minutes of the September monetary policy meeting released by the U.S. Federal Reserve on the 7th show that most Fed officials believe that raising the benchmark interest rate again before the end of this year "may be appropriate," but the decision to raise rates will depend on new market information and an assessment of overall risks. The minutes show that although Fed officials agreed to raise rates, there were differences in the reasons considered for doing so. Some officials at the meeting said that raising rates would help prevent energy market shocks and industry-wide price increases driven by artificial intelligence-related demand, thereby reducing inflationary pressure. Other officials at the meeting said that the current interest rate is not restrictive or only mildly restrictive, and that rates should be adjusted in a timely manner to adapt to market conditions. Fed officials at the meeting generally expected that inflation will remain elevated in the near term and believed that upside risks to inflation still exist. The minutes said that officials at the meeting discussed topics including the potential factors driving the recent rise in long-term Treasury yields.