Wall Street inched higher, while the US dollar fell as minutes from the latest Federal Reserve meeting showed an increased concern about tame inflation, prompting questions whether the central bank will increase rates again this year.
"Participants discussed the softness in inflation in recent months," according to the minutes from the Federal Open Market Committee's July meeting, released on Wednesday.
"Most participants indicated that they expected inflation to pick up over the next couple of years from its current low level and to stabilise around the committee's 2 percent objective over the medium term," the minutes showed.
"Many participants, however, saw some likelihood that inflation might remain below 2 percent for longer than they currently expected, and several indicated that the risks to the inflation outlook could be tilted to the downside," the minutes noted.
The minutes did not offer a starting date for the unwinding of the Fed's balance sheet.
"Al¬though several participants were prepared to announce a starting date for the program at the current meeting, most preferred to defer that decision until an upcoming meeting while accumulating additional information on the economic outlook and developments potentially affecting financial markets," according to the minutes.