Fed's surprise message: June hike likely if economy improves

The minutes of their most recent meeting in late April showed that Fed officials widely felt it would be time to raise rates at their June 14-15 meeting as long as hiring and economic growth strengthened and inflation showed signs of accelerating toward the Fed's 2 percent target rate.

[...] after turbulence struck financial markets and the global economy weakened, the Fed removed that assessment from its descriptions of the economy and held rates steady.

[...] many economists have assumed that the Fed would leave rates alone at its June meeting.

[...] inflation, which has been running below the Fed's target level for four years, has shown signs of picking up as energy prices rebound from a steep drop at the start of the year.

The government said this week that the consumer price index jumped 0.4 percent in April, reflecting higher energy costs.