The Fed was divided on the future path of interest rates

Members of the Federal Open Market Committee (FOMC) were divided on the future path of interest rates, according to the minutes of the June meeting released on July 8, CNBC reports.

Following this meeting—the first under the leadership of the new Federal Reserve Chair, Kevin Warsh—it was unanimously decided to keep the interest rate unchanged. However, according to the regulator’s updated projections presented at that time, nine committee members expected at least one 0.25 percentage point increase by the end of the year, and six of them expected at least two increases.

The minutes showed that policymakers considered both a tightening of policy and a slight easing—since “many participants” of the FOMC predicted a scenario in which inflation would continue to slow, while “many others” considered it possible that high price pressures would persist. The document does not specify which scenario the committee favors more.

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