Fed Raises Interest Rates Again to Combat Inflation

The US Federal Reserve has raised interest rates to tackle inflation, marking a unanimous decision by its Federal Open Market Committee (FOMC).

The FOMC voted to increase the federal funds target range to 3.75%-4%, with policymakers expecting one additional quarter-point rate increase this year.

Economic activity in the US remains solid, while domestic spending is resilient despite elevated uncertainty linked partly to geopolitical developments.

Inflation remains a concern, with annual inflation reaching 3.4% in August and gasoline prices accounting for more than a third of the monthly increase in consumer prices.