Internal Pressure Rises at the Federal Reserve for Rate Hike, Three Dissenting Votes Appear

July 30th: In this interest rate decision, three of the five regional Fed presidents who are voting members of the Federal Open Market Committee dissented. They are Cleveland Fed President Harker, Minneapolis Fed President Kashkari, and Dallas Fed President Kaplan.

All three advocated for a 25-basis-point rate hike. This is the first time since September 2016 that the Fed has seen three consistent dissents in the same policy decision, reflecting a growing internal support for a tightening policy.

Fed Chair Powell, who supports keeping rates unchanged, has always emphasized the Fed's responsibility to curb inflation. It is expected that he will be asked during the press conference at 2:30 a.m. Beijing time why he believes continuing to be patient is still the most appropriate policy choice.