Trump Attacks Fed Amid Rising Interest Rates and Stubborn Inflation

President Donald Trump has launched another attack on the Federal Reserve after it raised its benchmark interest rate, but economists say the Fed's actions have less impact on long-term borrowing costs than broader economic trends. The US economy is experiencing steady growth despite repeated shocks, and may even be accelerating, while inflation remains stubbornly high.

The trend of higher interest rates is driven by several factors, including big tech firms borrowing large amounts of cash to fund data center construction and the federal government running large yearly budget deficits. As a result, analysts say that higher interest rates are inevitable regardless of what the Federal Reserve does.