Federal Reserve officials, ahead of March meeting, expressed their differing views over whether recent evidence of escalating prices is firm enough to push through with planned interest rate hikes.
Fed Vice Chair Stanley Fischer implied economic data led to the first series of inflation, but Fed Governor Lael Brainard said the central bank should not make any move until they prove the inflation’s persistence.
Since mid-2014, policymakers have stipulated the inflation headwinds would pass and recent report on prices of products and services and leap in commodity prices may imply the time has finally come.
A rate increase is not awaited at next week’s meeting following weeks in which crude prices have slumped and global stock markets have been volatile.
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