The Federal Reserve raises interest rates for the eleventh time
The Federal Reserve raised its key interest rate on Wednesday for the 11th time in 17 months, a series of increases aimed at curbing inflation but also carrying the risk of going further and causing a recession. (July 26)
AP
The Federal Reserve is expected to keep its key interest rate steady at its meeting on Wednesday, as parts of the economy, from jobs to housing, continue to weaken.
This will be only the second time in eighteen months that the central bank has refused to raise interest rates, halting a wave of hikes that has pushed the federal funds rate to between 5.25% and 5.5%, the highest level in 22 years, making it More difficult for consumers. Businesses have to assume a loan or credit card payment.
“we We expect the Fed to leave interest rates unchanged “At the September meeting,” Michael Pearce, chief US economist at Oxford Economics, said in a note to investors. “Renewed signs of weakness in interest rate sensitive parts of the economy and cool labor market conditions should keep officials on the sidelines through the rest of the year.”
However, the Fed itself has kept the door open to raise interest rates at least once more before the end of the year.
Fed interest rate decision today
The Fed will announce its interest rate decision at 2:00 PM EST on Wednesday, September 20.
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When will the Fed Chairman speak?
Fed Chairman Jerome Powell is expected to speak at 2:30 PM EST on Wednesday.
What is the federal funds rate currently?
After a month-long pause that halted the most significant wave of interest rate increases in four decades, the Federal Reserve resumed its increases in July, boosting its key interest rate by a quarter of a percentage point. Ranging from 5.25% to 5.5%This is the highest level in 22 years. The Fed did not meet in August.
Results of today’s Fed meeting
There is no expected change to the current key interest rate from 5.25% to 5.5%.
Federal Reserve Bank: What is it?
Federal Reserve It is the linchpin of the country’s banking system, working behind the scenes to ensure that the economy is functioning and stable, and that there is a balance between the country’s financial vitality and consumer interests. Its goal is “to achieve maximum employment, stable prices, and moderate long-term interest rates,” according to its website.
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