{
  "id": 7246589,
  "title": "US Fed on 'knife edge' as oil prices heap pressure on inflation risk",
  "url": "https://urgent.news/2026/09/14/us-fed-on-knife-edge-as-oil-prices-heap-pressure-on-inflation-risk-7246589",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-14T04:00:00.000Z",
  "source": {
    "name": "The National Business",
    "slug": "the-national-business",
    "url": "https://www.thenationalnews.com/business/economy/2026/09/14/fed-meeting-rate-hike/"
  },
  "original_language": "en",
  "account": "The US Federal Reserve finds itself on a knife edge as oil prices intensify inflation concerns driven by the Iran war. Nearly 90% of traders expect the central bank to raise interest rates by 25 basis points on Wednesday, breaking a nine-month pause. Traders fear prolonged war in the Gulf, including Yemen's Houthi rebels seizing the Red Sea port of Mokha, could keep energy prices high. Brent crude oil settled at $104.50 per barrel after Saudi Arabia shut down the East-West Pipeline due to attacks, a key export route for the kingdom. This move could signal a critical juncture in the six-month conflict. Oil prices surged nearly 8% last week due to escalating tensions. Meanwhile, US inflation data showed headline inflation remained steady at 3.4% in August, with core inflation at 2.4%, both as expected. However, petrol prices rose 27.4% year-on-year, and 3.9% monthly in August. The average driver now pays $4.29 per gallon, up from $3.19 last year. Diesel prices even surpassed $6 per gallon. The Fed's chairman, Kevin Warsh, feels uncertain about whether inflation is moving towards the central bank's 2% target. Compared to sitting on a \"knife edge,\" Fed policymakers must balance economic risks and inflation control. The bond market is also putting pressure on Fed policymakers, with US long-term yields hitting a near two-decade high due to inflation fears and mounting government debt. The Treasury Department attempted to ease borrowing costs by buying back $6 billion in government debt, but the 10-year Treasury yield rose to its highest level since 2023. To counteract bond market volatility, the Fed will need to act swiftly and credibly.",
  "summary": "Traders expect the US Federal Reserve to raise interest rates this week to clamp down on energy-induced inflation driven by the Iran war. Nearly 90 per cent of traders believe the US central bank will raise interest rates by 25 basis points on Wednesday, snapping a nine-month holding pattern, CME Group data shows. The UAE Central Bank is likely to mirror the Fed's decision. “People are finally…",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "The National UAE",
        "title": "US Fed on 'knife edge' as oil prices heap pressure on inflation risk",
        "url": "https://urgent.news/2026/09/14/us-fed-on-knife-edge-as-oil-prices-heap-pressure-on-inflation-risk",
        "published": "2026-09-14T04:00:00.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}