According to the New York Fed, a reduction in shipping congestion, an easing of parts shortages, and weakening consumer demand have result in below-normal supply-chain pressures around the world.

Some Republican lawmakers insist that the limit will be raised and the U.S. government will not default on its debt. Others seem to be considering alternatives that Powell considers to not be viable.

A letter from the comptroller to major state-employee pensions provides a list of "energy boycotters," claiming firms including BlackRock, UBS, and Credit Suisse "should not ... benefit from assets invested for the future of Texans while simultaneously undermining our state's economic future."

According to the Fed minutes, "maintaining a restrictive policy stance until inflation is clearly on a path toward 2 percent is appropriate from a risk-management perspective."