Meeting minutes show that the Federal Reserve is concerned about the multiple negative impacts of the Middle East conflict on the economy.

The minutes of the March monetary policy meeting released by the Federal Reserve on the 8th showed that Fed officials are concerned about the multiple negative impacts of the Middle East conflict on US economic growth, inflation, and the outlook for the job market. The minutes showed that attending Fed officials believed that the prolonged Middle East conflict is likely to lead to a longer period of energy price increases, with higher costs more likely to be transmitted to core inflation. The vast majority of officials believed that the Fed's progress in achieving its 2% inflation target is slower than previously expected, and the risk of inflation persisting above the target level has increased. Some officials pointed out that short-term inflation expectations have risen in recent weeks, reflecting the significant rise in oil prices due to the conflict.