BoE and Fed officials discuss inflation and AI

At the United States — Federal Reserve's annual Jackson Hole conference, United Kingdom — Bank of England Governor Andrew Bailey said AI and robotics are a critical source of faster growth needed in the UK economy. He noted subdued second-round inflation effects and a softening labour market, supporting the Bank's decision to hold UK interest rates at 3.75% since December. UK CPI inflation rose to 2.9% in July, partly due to energy prices pushed up by the Iran war. Meanwhile, United States — Federal Reserve Chairman Kevin Warsh said inflation is still too high and suggested the Fed may have to raise rates in coming months, despite recent cooling.