Back to today’s briefing

Story perspectives

Fed's Schmid Warns Rising Oil Prices May Sustain Inflation

3/31/2026

23 2 Full Breakdown

Summary

Story summary

Jeff Schmid, President of the Federal Reserve Bank of Kansas City, warned that rising oil prices due to the Iran conflict could keep US inflation near 3% and slow progress toward 2% target.
He said energy price shocks can feed broader inflation if companies pass costs to consumers.
Schmid noted inflation has been elevated for five years and cautioned that the impact of higher oil prices may not be temporary.

1 of 1

Story summary

Jeff Schmid, President of the Federal Reserve Bank of Kansas City, warned that rising oil prices due to the Iran conflict could keep US inflation near 3% and slow progress toward 2% target.
He said energy price shocks can feed broader inflation if companies pass costs to consumers.
Schmid noted inflation has been elevated for five years and cautioned that the impact of higher oil prices may not be temporary.