When one struggles, both struggle. Successful community development invests in and builds up both the physical infrastructure and human capital in underserved areas. The Federal Reserve is uniquely positioned to bring together diverse stakeholders to disseminate information, exchange ideas, and identify shared interests that foster local partnerships and comprehensive solutions.
But the inflation outlook was also seen as subject to important upside risks. In particular, prices of crude oil and other commodities had increased sharply in recent weeks, and the foreign exchange value of the dollar had weakened.