Kashkari: Inflation Remains High Across US Economy Despite Rate Hike

Federal Reserve President Neel Kashkari stated that inflation remains high across all sectors of the US economy, not just in rising oil prices. This comes after a unanimous vote to raise interest rates by a quarter percentage point to 3.75-4%.

Kashkari emphasized that even if energy and food prices are stripped out, inflation is still too high. He supported the recent rate hike decision, which showed all but two Fed policymakers see at least one more quarter-point increase this year.

The Middle East conflict has driven oil surges, with crude oil prices soaring after hostilities intensified between the US and Iran in the Strait of Hormuz and Saudi Arabia closing its vital East-West pipeline due to aerial attacks.