Published September 1, 2026 Updated about 2 hours ago By Reuters NEW YORK: The main US stock indexes slipped on Monday after military clashes between the United States and Iran drove up oil prices, stoking inflation fears after Fed Chair Kevin Warsh’s hawkish remarks in his maiden Jackson Hole address the previous week. The losses could set the tone for September, typically a weak month for equities, and are likely to up the ante at the US Federal Reserve’s meeting next month. Traders see more than a 60 percent chance of a rate hike at the Fed’s September meeting, according to CME’s FedWatch, a sharp increase from 41.4 percent a week ago, after Warsh said policymakers may need to increase borrowing costs if inflation does not ease to the central bank’s 2 percent target. “Absent a material downside surprise, the onus is now on Warsh to deliver a September hike. Otherwise, he risks undermining some of the credibility he gained on Friday,” analysts at BofA Global Research said in a note. Warsh’s comments, delivered on Friday at the Fed’s Jackson Hole symposium in Wyoming, followed mixed data in recent weeks. A consumer inflation report this month showed price pressures were mild in July, but the Personal Consumption Expenditures reading, the Fed’s preferred gauge, came in hotter than expected. The ambiguity could raise the stakes for the monthly US employment report, due on September 4. Recent data did not indicate that “underlying trends…