Federal Reserve Worried Tariffs Could Make Inflation Persist: Meeting Minutes

Central bank staff express concerns that tariffs will ‘boost inflation markedly’ in 2025.

Federal Reserve Chairman Jerome Powell testifies before the House Committee on Monetary Policy in Washington on Feb. 12, 2025. Madalina Vasiliu/The Epoch Times

Federal Reserve officials are increasingly concerned that inflation may persist longer than initially expected, according to minutes from the May policy meeting.

Earlier this month, the Fed kept the benchmark federal funds rate unchanged for the third consecutive meeting. The key rate remained in a range of 4.25 percent to 4.5 percent.