{"id":1923706,"date":"2023-05-03T22:12:21","date_gmt":"2023-05-04T02:12:21","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/federal-reserve-hikes-interest-rates-another-0-25\/"},"modified":"2023-05-03T22:16:53","modified_gmt":"2023-05-04T02:16:53","slug":"federal-reserve-hikes-interest-rates-another-0-25","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/federal-reserve-hikes-interest-rates-another-0-25\/","title":{"rendered":"Fed Raises Interest Rates by 0.25% Again"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">14<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Ffederal-reserve-hikes-interest-rates-another-0-25%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1923706&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><h2>Federal Reserve Raises Interest Rates for 10th Time in Over a Year<\/h2>\n<p>The Federal Reserve has approved its <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/australia-reserve-banks-cash-rate-decision-to-dominate-agenda\/\" title=\"Australia Reserve Bank\u2019s Cash Rate Decision to Dominate Agenda\">10th interest rate increase<\/a> in just over a year, taking the fed funds rate to a target range of 5%-5.25%. The widely expected decision was unanimous, and the central bank dropped a tentative hint that the current tightening cycle is at an end. The rate sets what banks charge each other for overnight lending but feeds through to many <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/federal-reserve-hikes-interest-rates-0-75-the-most-since-1994\/\" title=\"Federal Reserve Hikes Interest Rates 0.75%  - the Most Since 1994\">consumer debt products<\/a> such as mortgages, auto loans and credit cards. <\/p>\n<h3>What Does This Mean for the Economy?<\/h3>\n<p>Markets are more focused on whether the Fed will pause here, particularly with lingering concerns over economic growth and a banking crisis that has rattled nerves on Wall Street. Stocks rose slightly and Treasury yields were mostly lower immediately following the Fed news, but stocks struggled to hold on to the gains. <\/p>\n<p>During Wednesday\u2019s news conference, Chairman Jerome Powell said \u201ca decision on a pause was not made today\u201d but noted the change in the statement language around future policy firming was \u201cmeaningful.\u201d The statement also tweaked language to outline the conditions under which \u201c<a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/federal-reserve-hikes-interest-rates-as-inflation-persists\/\" title=\"Federal Reserve Hikes Interest Rates as Inflation Persists\">additional policy firming<\/a> may be appropriate.\u201d <\/p>\n<h3>What About Inflation?<\/h3>\n<p>The post-meeting statement omitted a sentence present in the central bank\u2019s March comments saying that \u201cthe Committee anticipates that some additional policy firming may be appropriate\u201d for the Fed to achieve its 2% inflation goal. The statement reiterated that the Fed \u201cwill take into account the cumulative tightening of monetary policy, the lags with which <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/fed-hikes-interest-rates-another-0-75\/\" title=\"Fed Hikes Interest Rates Another 0.75%\">monetary policy affects economic activity<\/a> and inflation, and economic and financial developments.\u201d <\/p>\n<h3>What&#8217;s Next?<\/h3>\n<p>Taken together, the moves are at least a tenuous nod that while tight policy could remain in effect, the path ahead is less clear for <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/federal-reserve-hikes-interest-rates-another-0-25\/\" title=\"Fed Raises Interest Rates by 0.25% Again\">actual interest rate hikes<\/a> as policymakers assess incoming data and financial conditions. Issues in the financial sector have continued, with JPMorgan Chase on Monday taking over First Republic. Powell said such a transaction was an \u201cexception.\u201d Although it wasn\u2019t an ideal situation, Powell said it was a \u201cgood outcome\u201d for the banking system. <\/p>\n<h3>What Does This Mean for Investors?<\/h3>\n<p>While higher rates have compounded the banking problems, Fed officials insist they are focused squarely on inflation. Markets are anticipating that slower growth and the possibility of recession will force the Fed to cut rates later this year. Recent data points have indicated a softening in price increases, though \u201csticky\u201d items such as housing costs and medical care have remained higher, while prices that tend to change a lot, such as food and energy, actually have decelerated, according to Atlanta Fed calculations.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Federal Reserve approved its 10th interest rate increase in just a little over a year and dropped a tentative hint that the current tightening cycle is at an end.The widely expected decision, which takes the fed funds rate to a target range of 5%-5.25%, was unanimous.The post-meeting statement omitted a sentence present in the<\/p>\n","protected":false},"author":1,"featured_media":1923707,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[547],"tags":[15895,7498,4224,6009],"class_list":["post-1923706","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-bongino-report","tag-0-25","tag-fed","tag-raises","tag-rates"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1923706","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1923706"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1923706\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1923707"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1923706"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1923706"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1923706"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}