The Federal Reserve intensifies its fight against the increase in inflation in the US. In a press conference, the president of the consortium, Jerome Powell, has announced a third consecutive rise in short-term interest rates, the fifth increase in 6 months. It also warns that this will not be the last.
“Today, the Federal Open Market Committee, has made a 0.75 point increase in its interest rate, and we anticipate that there will be morePowell told the media.
The US central bank met the expectations of economists and the official interest rate of the world’s largest economy now stands at a range between 3% and 3.25%the highest level in the last 14 years.
Powell had already anticipated last July, when he announced the previous increase, that in September there would possibly be another “unusually large increase” of the guys, a prediction that he has been reaffirming in his latest public speeches.
Officials expect to raise their benchmark interest rate to around 4.4% at the end of the year, one percentage point more than they had anticipated in June. And they plan to further increase the rate next year, to approximately 4.6%. It would be the highest level since 2007.