WASHINGTON — The Federal Reserve last month debated whether it should start reversing policies to prevent inflation from taking off and some members said the Fed might need to start boosting interest rates this year.
Some members thought the Fed would need to start signaling that record-low interest rates would need to rise. A few members believed the Fed might need to boost its key interest rate or start to sell some of the assets in its portfolio later this year. Either move would lead to tighter credit and higher rates on consumer loans.
The information was contained in minutes of the Fed’s closed door meeting on April 26-27. The minutes, released Wednesday, don’t reveal the identity of Fed policymakers.