Minneapolis Federal Reserve President Neel Kashkari said inflation is unlikely to return to the Federal Reserve's 2% target without further monetary tightening, leaving additional rate hikes under consideration. He reiterated his support for a quarter-point increase at the July 28–29 meeting, when he joined Cleveland Fed President Beth Hammack and Dallas Fed President Lorie Logan in dissenting against keeping the federal funds rate target range at 3.50%–3.75%. Kashkari, a voting member of the Federal Open Market Committee (FOMC), said officials need more data before the September 15–16 meeting and that he is not confident inflation has resumed a sustained decline toward 2%. He said elevated Treasury yields are not a concern for monetary policy, noting that the market remains orderly and liquid. The 10-year Treasury yield settled around 4.73% last week, while the 30-year yield approached 5.3%, its highest level since 2007. Kashkari said long-term yields reflect inflation expectations, government borrowing, artificial intelligence capital spending and economic growth expectations. He also warned that an escalating US-Canada tariff conflict and the continuing Iran conflict could extend inflationary pressures. The United States began imposing 50% tariffs on Canadian products on Aug. 22 after negotiations failed, while Canadian Prime Minister Mark Carney has pledged retaliatory tariffs from Sept. 8. Markets will also watch Fed Chair Kevin Warsh's Aug. 28 keynote address at the Kansas City Fed's Jackson Hole Economic Policy Symposium for signals on inflation and the policy path.