Fed Officials Concerned About Services Inflation, Highlight Potential Rate Hike

Federal Reserve officials are expressing renewed anxieties regarding inflation in the service sector, despite recent progress in overall price growth. In light of the latest Consumer Price Index (CPI) report, Fed Governor Austan Goolsbee highlighted the persistent concerns about services inflation, particularly within labor-intensive industries like housing, healthcare, and transportation. His comments signal a possible shift towards caution within the Federal Reserve ahead of its upcoming September 16–17 meeting.