Fed Raises Interest Rates to Combat 'Too High' Inflation

The US Federal Reserve raised interest rates for the first time since 2023, increasing the benchmark rate by 25 basis points to between 3.75 and 4.00 percent.

Central bank chief Kevin Warsh emphasized that inflation has been 'too high' for 'too long', citing it as a major concern.

The decision was made despite President Donald Trump's calls for lower interest rates, which he believes would boost the economy.

Warsh said the Fed's action was necessary to combat inflation and ensure the US economy remains resilient.