Federal Reserve officials can't seem to stop hinting that  instead of lowering interest rates they might be forced to raise them if inflation isn't tamed. This message was most recently delivered by Federal Reserve Bank of Minneapolis President Neel Kashkari at the Barclays-CEPR International Monetary Policy Forum in London yesterday.

"I don't think anybody has totally taken rate increases off the table," he said. "I think the odds of us raising rates are quite low, but I don't want to take anything off the table."

The possibility of higher rates was also raised in the minutes from the April 30-May 1 policy meeting of the Federal Open Market Committee, which reported that "various participants mentioned a willingness to tighten policy further should risks to inflation materialize in a way that such an action became appropriate."

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Erika Morphy

Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.