A hawkish Fed signals further rate hikes and sees a slowing economy – but not recession

Fed Chair Jerome Powell indicated further hikes to come. Drew Angerer/Getty Images

The U.S. Federal Reserve hiked its benchmark interest rate by a further three-quarters of a percentage point on July 27, 2022.

The jump was expected by most economists, although some had thought the central bank would go further in its attempts to put the brakes on soaring inflation and impose a full point increase.