Fed feels not to increase Interest rate

At their policy meeting earlier this month, Federal Reserve officials appear very worried about rising prices and expectations among consumers that prices will rise further, according to a summary of their meeting released.

At its May 10 meeting the FOMC voted to raise its target for the federal-funds rate to 5.0% from 4.75%. It was the 16th consecutive quarter-point increase since June 2004.

According to the summary, Fed officials even debated whether to increase the funds rate by 50 basis points at the meeting, although there was also discussion about leaving policy unchanged. But recent price developments clearly had the central bankers' attention. FOMC members expressed "some concern" about recent price developments, with core consumer inflation rising a little higher than they expected.

Overall, it tells, FED MIGHT PAUSE this time. They feel as not to increase Interest at the moment.