Federal Reserve meeting minutes: Staff continue to see the risks to the inflation outlook as tilted to the upside

Jinse Finance reported that the Federal Reserve meeting minutes mentioned that staff made only slight adjustments to their inflation forecasts compared to the July meeting. Tariff increases are still expected to push up inflation this year and bring further upward pressure in 2026. Inflation is expected to decline in 2026, reach 2% by 2027, and remain at that level in 2028. Staff continue to believe that the uncertainty of the forecast remains high, mainly due to the uncertainty of changes in economic policies, including trade, immigration, fiscal spending, and regulation, as well as the economic impact of these policy changes. The risks to employment and the labor market are slightly tilted to the downside, as recent signs of labor market weakness have emerged against the backdrop of moderate real GDP growth. Staff continue to see the risks to the inflation forecast as tilted to the upside, as this year's rise in inflation may prove more persistent than the baseline forecast assumes.