🏦 Federal Reserve Governor Michelle Bowman argues that the Fed should not rush to raise interest rates simply because of temporary inflation increases due to soaring energy prices. She emphasized that other inflation measures are still nearing the Fed's 2% target. While the official PCE index is at 3.8%, the Dallas Fed's Trimmed Mean index is only at 2.3%, suggesting that underlying inflationary pressures may not be as severe as headline figures suggest. Currently, Bowman supports keeping interest rates unchanged rather than raising them and still believes the Fed's next move is more likely to be a rate cut than a rate hike, provided inflation does not spread throughout the economy. However, she indicated that this view could change if the Iran conflict drags on, energy prices remain high for an extended period, and those costs begin to spill over into other sectors of the economy.