Federal Reserve Raises Interest Rates To Highest Level In 15 Years

Despite recent encouraging signals, the Federal Reserve hiked its benchmark interest rate by half a point on Wednesday to its highest level in 15 years, showing that the struggle against inflation is still ongoing.

The Federal Open Market Committee, which sets interest rates, decided to raise the overnight borrowing rate, bringing it to the zone of 4.25% to 4.5%. The increase broke a string of four consecutive .75 point hikes, the most forceful policy moves since the beginning of the 1980s.