According to the minutes of the last meeting of the Federal Open Market Committee (FOMC), a number of Fed officials have declared their readiness to raise interest rates again if inflation in the United States does not continue to slow down. During the discussions, representatives of the Federal Reserve expressed concern about the disappointing inflation figures, noting that the latest data indicate the likelihood of its steady preservation in the coming months. The situation in the real estate market is also alarming: the cost of housing has not decreased as much as expected. So is the cost of labor. These two factors are the main sources of inflation in the United States at the moment. In addition, the steadily growing economy of the country can maintain a high level of consumer demand for goods and services, which leads to the preservation of high prices, some representatives of the Fed suggested. For this reason, they believe that the Fed will need more time than previously expected to gain confidence in the movement of inflation to the target level of 2%. At the same time, Fed officials expect the economy to grow at a slower pace, which will help balance supply and demand. Following the results of the last meeting, the Fed kept the interest rate at the level of 5.25-5.5% per annum. The decision was made unanimously by the FOMC members and coincided with the expectations of most analysts and economists. The rate is at its highest level in 23 years, while it has remained unchanged for six consecutive meetings. The next FOMC meeting is scheduled for June 11-12 and will be accompanied by the publication of updated economic forecasts.
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