Fed set for more rate hikes: minutes

[DemsUnite]

The Federal Reserve is set to raise US interest rates further to keep a lid on oil-linked inflation, according to minutes of the central bank's August 9 meeting.

At its last meeting, the Fed's open market committee (FOMC) agreed to raise its benchmark rate for the 10th time running, by a quarter percentage point to 3.5 percent.

"Even with this action, the federal funds rate would remain below the level that members anticipated would prove necessary to contain inflation pressures and keep output near potential, and thus in all likelihood further policy action would be required," the FOMC minutes said.

"However, the pace of future policy moves, although likely to be measured, as well as the extent of those moves, would depend on incoming data."

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http://news.yahoo.com/s/afp/20050830/pl_afp/useconomybankfed_050830185213;_ylt=AjTOGFEsaq_Efq_jPmCYThCsOrgF;_ylu=X3oDMTBiMW04NW9mBHNlYwMlJVRPUCUl

[Betty]

1. If our do-nothing government would stop the profiteering

that would "keep a lid on" oil-linked inflation. Even after Katrina, with the damage in the billions, you can be sure the oil companies will never do anything patriotic like take less profits. It is unconsionable that they are drawing RECORD profits at a time like this.