The Globe and Mail reports in its Thursday, July 30, edition that the Federal Reserve kept interest rates unchanged on Wednesday, despite increasing divisions among policy-makers regarding how to address inflation after five years above the 2-per-cent target. A New York Times dispatch to The Globe reports that the Fed voted 9-3 to keep rates at 3.5 per cent to 3.75 per cent, a level that has been in place since January. Beth Hammack, Neel Kashkari and Lorie Logan voted for a quarter-point increase, underscoring the Fed's challenging position and that of Chair Kevin Warsh as they address new sources of price pressures that complicate the ongoing inflation issue. Oil prices have whipped around in recent days with the Iran war in a delicate limbo. The Fed is facing supply shocks from the war, new tariffs from Mr. Trump and ongoing impacts from his immigration restrictions on the labour market. Officials are also dealing with booming demand for products tied to the sharp rise in artificial-intelligence investment. Supply has yet to catch up, leading to higher prices on items such as semiconductors, computer chips and servers, along with high demand for electricians and carpenters.