Fed's Warsh Faces Inflation Dilemma Amid Rising Auto and Housing Costs

U.S. Federal Reserve Chairman Kevin Warsh is facing challenges in determining whether inflation is a problem or not.

According to recent data, U.S. auto prices rose at a roughly 5% annualized pace in July, while housing and utility costs increased at more than a 3.5% rate.

The numbers come as the Fed's monetary policy committee meets to discuss interest rates and economic growth.