Minutes from the Federal Reserve March meeting show officials still expect to cut interest rates later this year despite uncertainty tied to the Iran conflict and tariffs.

Policymakers said the war could push them toward easier monetary policy if higher gas prices weaken consumers and the labor market.

They emphasized the need to remain “nimble” as inflation stays above target and employment growth remains relatively flat.

Most participants anticipated at least one rate cut if inflation continues to decline as expected, CNBC has reported.

The Federal Open Market Committee ultimately voted to keep rates steady in a range of 3.5% to 3.75% while monitoring economic risks.