Federal Reserve: Interest rate increase expected amid energy costs

The US Federal Reserve is expected to announce a quarter-point interest rate increase as policymakers move to counter inflation driven by surging energy prices. While the American labour market has remained resilient, higher fuel costs linked to the conflict with Iran have driven up consumer expenses. Research from Brown University's Climate Solutions Lab estimates motorists have spent more than $100bn extra on petrol and diesel. Fed Chair Kevin Warsh faces competing pressures as the central bank works to meet its dual mandate of price stability and maximum employment. Source: Guardian World