WSJ Fed insider says "An Important Shift in Fed Officials’ Rate Stance Is Under Way"

<p>Nick Timiraos is acknowledged as an 'insider' when it comes to the Federal Reserve's Federal Open Market Committee (FOMC). </p><p>He writes the Fed is likely to pause rate increases in September, then take a harder look at whether more are needed.</p><ul><li>Some officials still prefer to err on the side of raising rates too much, reasoning that they can cut them later. </li><li>Now, though, other officials see risks as more balanced. They worry about raising rates and causing a downturn that turns out to be unnecessary or triggering a new bout of financial turmoil.</li><li>The shift toward a more balanced bias on rates is driven by data showing easing inflation and a less overheated labor market. In addition, the unusually rapid rate increases implemented over the past 1½ years are expected to continue crimping demand in coming months.</li></ul><p>Here is the link for a more details discussion. The expectation of a pause in September is almost unanimous. </p><p>The latest prices from the CME FedWatch tool:</p>

This article was written by Eamonn Sheridan at www.forexlive.com.