Central Banks

Fed Officials on Track to Hike Rates and Signal Potential Pause

  • Some policymakers call for prudence amid banking stress
  • What officials do beyond May meeting hinges on the economy

The US Treasury building in Washington, DC.

Photographer: Ting Shen/Bloomberg
Lock
This article is for subscribers only.

Federal Reserve officials are on track to raise interest rates a quarter percentage point next month and signal a potential pause from the steepest hiking campaign in decades.

Policymakers across the hawkish and dovish ends of the spectrum stress that inflation is still too high and the US central bank has more work to do. But there’s also concern that fallout from recent bank failures will slow the economy.