The Federal Reserve released the minutes of its latest Federal Open Market Committee (FOMC) meeting, showing that most members believe inflation remains too high to justify rate cuts in the near term.

Key highlights from the minutes included:

• Inflation is still well above the 2% target.

• Geopolitical risks are contributing to price pressures.

• Some members favor keeping rates elevated until at least Q1 next year.

Market reaction was swift:

• The US Dollar Index (DXY) climbed to 104.90, a 4-week high.

• Gold (XAU/USD) fell below $1895 per ounce.

• GBP/USD slipped to 1.2540.

Investors are now watching Fed Chair Jerome Powell’s upcoming speech for further guidance.