US Federal Reserve Hikes Interest Rates for First Time in Over Three Years

The US Federal Reserve has raised its target federal funds rate by 25 basis points to a range of 3.75 percent to 4 percent, marking its first interest rate hike since July 2023.

Fed Chair Kevin Warsh stated that inflation is the problem and that stable prices have been an issue for over five-and-a-half years.

The Federal Open Market Committee (FOMC) voted unanimously in favor of the rate hike, citing persistent inflation and robust economic growth.