Analysts: The Federal Reserve's June minutes send hawkish signals that interest rate cuts are cooling

On July 9, InvestingLive analyst Adam Button said that the minutes of the Federal Reserve's June meeting sent a hawkish signal that officials are still worried about inflation risks. Button believes that the Fed's policy priorities are changing, and market attention has shifted from "when to cut interest rates" to "whether it is possible to raise interest rates." The minutes of the meeting showed that some officials expected interest rates at the end of the year to be higher than current levels. He also pointed out that core inflationary pressures in the United States are still obvious, and price increases in areas such as air tickets and petrochemical products show that inflation is not entirely driven by short-term factors. Overall, differences within the Federal Reserve on the future interest rate path have increased, but high inflation is still a key factor affecting the direction of policy.