U.S. FOMC releases June minutes..."Tariffs may be a persistent factor for inflation"

According to the June 2025 Federal Open Market Committee (FOMC) minutes released by the Fed on the 9th (local time), the committee members expressed concerns that tariffs could become a persistent factor for future inflation.

The minutes showed that all members agreed it was appropriate to keep the benchmark interest rate at its current level.

Some members took a hawkish stance, indicating that the current federal funds rate may not be much higher than the neutral rate, while others stated that, if economic indicators progress as expected, a rate cut could be considered at the July meeting.

The majority of members judged that a rate cut might be needed at an appropriate time within this year, and especially noted that the recently strengthened tariff policies could heighten inflationary pressure.

Members stated, "Tariffs pose a persistent risk for driving up prices," expressing their intention to closely evaluate the effects on future price trends.

These minutes show that the Fed is keeping the possibility of a rate cut open, while remaining wary of structural factors related to inflation.