Fed meeting updates: The FOMC is likely on the verge of its first interest rate hike in 3 years

Good morning, and welcome to Fed Day! With stubborn inflation and volatile global oil prices, Fed chair Warsh must decide which side of the central bank’s dual mandate feels most urgent: stable prices or maximum employment.

A rate hike could help temper inflation, making basic goods more affordable for consumers and helping to steady the economy. However, higher rates risk slowing the job market and making it more difficult for Americans to buy homes and start businesses. Wednesday’s rate call will be a test of priorities for Warsh and the Federal Open Market Committee.