Minutes show Fed banks favoured hike by August

All of the 12 Federal Reserve regional banks had expressed support for raising short-term interest rates in August, minutes of the Fed's discount rate meetings released on Thursday 30 Septembershowed.

The Fed's Open Market Committee on August 10 upped the key federal funds rate in a bid to keep inflation low as the economy grows. The discount rate, which is subject to review and determination by the seven-member Fed board, was also increased that day to 2.5 percent from 2.25 percent.