Boston Fed President Susan M. Collins said the Iran war is intensifying the cost-of-living squeeze, with businesses and households in the U.S. Northeast being pressured by inflation. According to Sina Finance, Collins, who currently has no vote on the Federal Open Market Committee, said she supported the Fed keeping rates unchanged in July because policy is "slightly restrictive" and expected inflation to gradually ease.

According to Sina Finance, Collins also said she could support a rate increase as soon as September if the data justify it. She said the latest nonfarm payrolls report should not be overinterpreted and noted that the unemployment rate is "relatively stable," adding that inflation risks deserve more attention than mixed labor-market data. Collins said, "There is a lot to watch, and inflation is still too high."