In a move that surprised some investors, the Federal Reserve announced yesterday that it would be maintaining the current interest rates, which are at a 23-year high, for the fourth time in a row. This decision comes after the central bank raised rates 11 times since March of 2022 in an effort to combat record high inflation.
Fed Chair, Jerome Powell, expressed confidence that inflation is now moving towards the target of 2%. However, he made it clear that he wants to see more certainty and sustained progress before considering any rate cuts. This announcement has left investors pondering when the central bank will eventually begin reducing interest rates.
