Fed Hikes Rates, Signals Shift to Tighter Monetary Policy
The US Federal Reserve has raised interest rates for the first time since 2023 in a significant shift towards tighter monetary policy.
This move comes as inflation remains above the Fed's target of 2% while economic activity and employment continue to show resilience.
The federal funds target range was increased by 25 basis points to 3.75-4.00%, marking a reversal from the easing cycle that ended last year.