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Fed Divided Over Rate Hikes Amid Rising Inflation

2/20/2026

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Story summary
  • The Federal Reserve discussed potential rate hikes due to persistent inflation above 2%.
  • Inflation was 2.4% in January, with job growth revised down.
  • The Federal Open Market Committee remains divided, with some members suggesting rates should stay steady as they assess data.
  • U.S. President Donald Trump plans to nominate Kevin Warsh as the next Fed chair, who supports lower rates.