Fed Hikes Rates Again Amid Ongoing Inflation Concerns

The Federal Reserve raised its benchmark interest rate for the first time since 2023 on Wednesday in an effort to combat stubbornly high inflation.

The quarter-point increase brings the Fed's key rate to about 3.9%, which could lead to higher borrowing costs for mortgages, auto loans, and credit cards.

In its quarterly projections, the Fed signaled that it expects to hike rates a second time later this year to 4.1%.