Fed Raises Rates to Tackle Stubborn Inflation Amid Trump Pressure

The US Federal Reserve raised interest rates by 0.25 per cent to combat high inflation, a move that is likely to anger US President Donald Trump.

The Fed's decision comes after years of stubbornly high inflation, with prices surging in the wake of Trump's tariff policies and the ongoing AI boom.

According to the central bank's Summary of Economic Projections, at least 12 of 18 policymakers expect one more rate hike before the end of the year.