Fed meeting live updates: Potential drama ahead if Powell hints he will hang around

Oil prices surge ahead of Fed rate decision, clouding inflation picture FILE PHOTO: Crude oil storage tanks are seen in an aerial photograph at the Cushing oil hub in Cushing, Oklahoma, U.S., April 21, 2020. Dronebase Dronebase | Reuters Oil prices have surged about 7% in trading Wednesday afternoon at 12:40 p.m. ET as traders react to an Axios report that President Donald Trump plans to maintain the U.S. naval blockade against Iran until Tehran agrees to a nuclear deal. The pop in prices has pushed the U.S. benchmark, West Texas Intermediate crude , above $106 a barrel, while the international benchmark , is above $119. The higher energy prices that have followed the Middle East conflict have complicated the inflation picture for the Federal Reserve. Although oil price spikes are often ignored by policymakers as a temporary situation, the war between the Iran and U.S. could hamper the shipment of goods through the Strait of Hormuz for an extended period, especially if the two countries remain at a stalemate. —Christina Cheddar Berk What the Fed decision means for consumer rates For Americans now struggling to keep up with higher gas prices and overall affordability challenges, the central bank's decision to keep interest rates unchanged does little to ease . Short-term rates, like credit cards, closely track the federal funds rate so those will likely stay elevated. Auto loan rates are tied to several factors, including the Fed's benchmark. …