Abstract:The Federal Reserve on Wednesday intensified its drive to tame high inflation by raising its key interest rate by three-quarters of a point
The Federal Reserve on Wednesday intensified its drive to tame high inflation by raising its key interest rate by three-quarters of a point — its largest hike in nearly three decades — and signaling more large rate increases to come that would raise the risk of another recession.
The move the Fed announced after its latest policy meeting will increase its benchmark short-term rate, which affects many consumer and business loans, to a range of 1.5% to 1.75%.
The central bank is ramping up its drive to tighten credit and slow growth with inflation having reached a four-decade high of 8.6%, spreading to more areas of the economy and showing no sign of slowing. Americans are also starting to expect high inflation to last longer than they had before. This sentiment could embed an inflationary psychology in the economy that would make it harder to bring inflation back to the Feds 2% target.
In addition, U.S. bank JPMorgan Chase & Co said on Wednesday it had raised its prime lending rate by 75 basis points to 4.75%, effective Thursday. For more forex news, please download WikiFX - the Global Dealer Regulatory Inquiry APP.
DtpFx Ltd is a forex scam warned by FCA recently. However, it hasn't stopped its steps to scamming after being warned.
Although digital currencies have been around for over a decade, the concept is still foreign to many.
Oil jumped on Monday as OPEC+ considers a cut to output this week, while Asia shares were mixed with holidays in the Asia-Pacific region likely to result in thin trading.
Japanese Prime Minister Fumio Kishida on Monday vowed to take steps to cushion the blow from rising electricity bills and maximise the benefits to the economy from a weak yen such as by resuscitating inbound tourism.