Fed expected to hold rates as inflation concerns persist (opens original article in a new tab)

The Fed is expected to drop its easing bias and adopt a tightening stance on inflation amid rising energy prices and strong economic growth, according to analysts. Kevin Warsh is set to lead the Fed as inflation remains above target.

• Analysts expect the Fed to signal a tougher stance on inflation at the June meeting.
• Rising energy prices due to the Iran conflict have increased headline inflation to 3.8%.
• GDP growth is strong, with consumer spending and AI-driven productivity supporting the economy.
• The Fed's funds rate is currently at 3.6%, with some officials believing the neutral rate is around 3.5%.