Fed Raises Interest Rates

The Federal Reserve raised interest rates on Wednesday by 75 basis points for the fourth time. Following the hike, Fed Chairman Jerome Powell stated that the rates will climb higher than previously expected but that the central bank would slow the pace of the increase at the next meeting. The Fed’s decision raised the target for the benchmark federal funds rate, the rate at which banks lend each other money, to a range of 3.75-4 percent. As one economist put it, the Fed will continue raising interest rates, “slower for longer.”