The FOMC minutes released on July 8 from the June 17 meeting revealed genuine internal disagreement about where rates go next. The committee voted unanimously to hold the federal funds rate at 3.5% to 3.75%, but the consensus ended there. Some officials think inflation could ease in the second half of the year. Others are keeping the door open to further hikes.
Forward guidance goes quiet
The June 17 meeting marked a notable shift in communication strategy, with the committee stripping out much of the forward-looking language that investors had come to rely on. The Fed is no longer promising to hold, hike, or cut. It’s keeping all options on the table.
The 12-0 vote on holding rates steady might look like unity on the surface. Beneath it, the minutes paint a picture of a committee split on the inflation outlook and, by extension, on the appropriate policy path for the rest of the year. Some members see the current rate as sufficiently restrictive. Others clearly don’t.
Bitcoin and Ethereum take the hit
