CIBC Research reviews today's July FOMC statement.

"Today’s stand pat decision by the Fed provided little solace for those hoping to avoid a rate hike this year. A no-hike decision was mostly anticipated investors. But the fact that there were three dissenting votes in favor of a hike, a rare degree of divergence, after a unanimous decision to hold rates in June, should keep the market on alert for a hike in September, particularly with war clouds pushing up energy prices again. This wasn’t a meeting with an accompanying forecast, and the bare bones statement, identical to June’s other than the dissents, reflects Warsh’s distaste for forward guidance," CIBC notes.

"While our own forecast currently has the Fed on hold over the balance of the year, that call assumes an end to disruptions in Middle East oil traffic, which is far from a sure thing at this point. September’s meeting could readily see a quarter point rate hike if energy prices continue to escalate due to a more protracted conflict in the Gulf, raising the risk of further spillovers into core inflation," CIBC adds.