Fed Minutes May Show Battle Lines Hardening Over Soft Inflation
- Economists watching for signs of wavering commitment to hikes
- FOMC likely on track for September balance-sheet announcement
Mike Ryan, chief investment officer at UBS Wealth Management Americas, talks about the impact of U.S. economic data and inflation on the Federal Reserve's rate path. He speaks on 'Bloomberg Daybreak: Americas.' (Source: Bloomberg)
Federal Reserve watchers may get a better feel Wednesday for how many policy makers remain resolved to raise interest rates again this year, and how many are wavering amid a five-month stretch of soft inflation reports.
Economists and investors are also keen for more details about when the central bank will begin to run down its $4.5 trillion balance sheet when the Fed releases minutes of the Federal Open Market Committee’s July 25-26 meeting at 2 p.m. in Washington. Analysts expect the start of a gradual unwind of the balance sheet to be announced in September, with the next rate hike delayed until the final month of the year.