Odaily Planet Daily News: The Federal Reserve meeting minutes mention that, when discussing risk management factors that could impact the outlook for monetary policy, participants generally believe that the upside risks to inflation remain high, while the downside risks to employment are also elevated and have increased since mid-2025. Most participants noted that shifting to a more neutral policy stance would help prevent significant deterioration in labor market conditions. Many of these participants also believe that existing evidence suggests the likelihood of tariffs causing persistent inflationary pressures has decreased. In contrast, some participants pointed out that the risks of rising inflation may be deeply rooted and that further reductions in policy interest rates could be misunderstood as policymakers weakening their commitment to the 2% inflation target when inflation data remains high.
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