(3rd LD) Fed raises key interest rate by quarter point in 1st hike since 2023
WASHINGTON, Sept. 16 (Yonhap) -- The U.S. Federal Reserve on Wednesday raised it...
The U.S. Federal Reserve announced on Wednesday a quarter-point increase in its benchmark interest rate, marking its first rate hike since July 2023. The decision, made unanimously during a two-day Federal Open Market Committee (FOMC) meeting, comes amid persistent inflation and high oil prices. Despite repeated calls from U.S. President Donald Trump for the central bank to lower borrowing costs, the Fed maintained its stance, signaling a potential further increase this year.
The median projection from FOMC members now anticipates the federal funds rate reaching 4.1 percent by year-end, up from the June projection of 3.8 percent. Fed Chair Kevin Warsh did not provide his own dot plot projection. Rising consumer price inflation, excluding volatile food and energy costs, gained 0.3 percent in August, slightly above expectations.
Fed Chair Warsh emphasized the central bank's commitment to price stability, stating that inflation has been "too high" and "for too long."
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Also reported by 8 other outlets
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- Shorter-dated US Treasury yields surge in anticipation of another Fed rate hike economictimes.indiatimes.com
- The White House calls the Fed's first interest rate raise since 2023 'unfortunate' lemonde.fr
- Trump demands 1% or lower interest rate after first Fed hike since 2023 cnbc.com
- Fed defies Trump with US rate hike: Central bank chief Kevin Warsh pulls trigger in first increase for three years thisismoney.co.uk
- White House calls Fed rate hike 'regrettable', says move won't affect oil prices english.ajel.sa
- What the Fed rate hike likely means for you pbs.org
- (URGENT) Fed raises key interest rate by a quarter percentage point in 1st hike since July 2023 en.yna.co.kr
