The Federal Reserve raised interest rates by 25 basis points, or 0.25%, on Wednesday as expected, bringing the benchmark borrowing rate to its highest level since 2001.
The increase, the Fed’s 11th rate hike since March 2022, brings the short-term federal funds rate to a target range of 5.25% to 5.5%. After 10 consecutive rate hikes aimed at curbing inflation, the Fed paused in June but left the door open to future hikes, which many market watchers expected.
