PANews June 26 news, Federal Reserve official Kashkari said signs of broadly spreading inflation led him to pencil in one interest rate hike this year in the Fed’s economic projections released earlier this month, while rates are expected to remain unchanged in 2027. In a media interview on Friday, Kashkari said: “I am concerned about inflation, and this is not just about the Middle East situation — it’s a sign of broader inflationary pressures in the economy.” The Iran war has pushed up oil prices, and prices across a wide range of categories have also risen. This has reinforced concerns among some Fed officials that inflation is more broad-based and persistent, potentially requiring stronger action from the central bank. A report released earlier this week showed the annual PCE rate for May came in at 4.1%, the largest increase since April 2023. Prices have surpassed the Fed’s 2% target for more than five years. In the dot plot projections released by the Fed last week, half of the officials who submitted dot plot forecasts expect at least one rate hike this year.