FOMC meeting
  • High inflation warranted restrictive interest rates
  • Most participants saw downside risks to growth, including the possibility that Fed hikes have a larger-than-anticipated impact
  • Saw possibility of 'more restrictive' rates if hike inflation persisted
  • Judged increase of 50 or 75 bps would likely be appropriate in July
  • 'Many' participants judged there was a significant risk higher inflation could become entrenched if public questioned the Fed's resolve
  • Full text

There's no mention of 100 bps here, which is something the market worried about at the time. The comments about the 'larger than anticipated' impact and about the entrenchment of inflation expectations are notable. They show a more-granular look at both sides. Since the meeting, it's more clear that rate hikes are having a bigger impact and that inflation expectations are coming down.

I think there were some worries about a hawkish bent to these Minutes and I don't really see that here. We could see a bit of relief into the close.