Fed raises interest rates, a sign of concern about rising prices: "Inflation is too high"
The Federal Reserve raised interest rates for the first time in three years on Wednesday, a sign of concern about rising prices. Meanwhile, the cost of diesel fuel hit a new record on Wednesday, for the eighth day in a row. Nancy Cordes reports on rising prices and Kelly O'Grady has more details on the Fed's decision.
The US Federal Reserve has raised interest rates for the first time in three years, a sign of concern about rising prices. The Fed's Federal Open Market Committee voted unanimously to raise rates by 25 basis points to between 3.75 and 4.00 percent.
According to CBS News, the cost of diesel fuel hit a new record, for the eighth day in a row. The Fed's decision was described as a "serious" but necessary one by central bank chief Kevin Warsh, who stressed the need to combat inflation that has been "too high" for "too long".
The rate hike may not be the last, with the vast majority of Fed policymakers indicating that at least one more rate hike was likely necessary before the end of the year, according to their Summary of Economic Projections. President Donald Trump reacted angrily to the decision, calling it a "raise against Trump".
Brief written by urgent.news from CBS News, The Jakarta Post, New Straits Times, Business Recorder, PBS NewsHour — 5 reports on this story. Machine-written — may contain errors; check the original before relying on it.
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