Federal Reserve Chairman Jerome Powell. Photo: Saul Loeb/AFP via Getty Images
The minutes from the Federal Reserve's most recent meeting revealed officials' support for another interest rate hike — but some officials said an escalation in the trade war could present a challenge in determining the "appropriate monetary policy response."
The bottom line: If the trade war worsens, officials point out the potential risks to the economy that could change the Fed's plans to gradually raise interest rates. The Fed has hiked rates twice this year, and it's widely expected there could be two more hikes before the end of 2018.