Fed Minutes Show Confidence Inflation Is Slowing, Rates May Be Near Peak
• Fed minutes showed officials feel inflation is moderating and interest rates are likely at or near peak
• Officials tweaked language in December statement to signal rates may be at peak while leaving door open to more hikes
• Minutes said restrictive policy is having intended effect of slowing demand and cooling labor market
• Further progress on inflation may require more softening of demand, with restrictive policy playing key role
• Officials discussed technical factors that would guide decision to slow balance sheet runoff rate well before action taken