US Federal Reserve Hikes Interest Rate
The Federal Reserve, the central bank of the US, has announced to increase in interest rates by 0.75 percent. After this third consecutive increase by the US central bank Federal Reserve, the bank's benchmark funds rate has increased from 3 percent to 3.25 percent. The US central bank Federal Reserve has announced to increase in interest rates by 0.75 percent to control wild inflation. After the third consecutive increase, the bank's benchmark funds rate has increased from 3 percent to 3.25 percent.
Interest rates are projected to go up to 4.6 percent by 2023. At the same time, its effect can be seen in many countries of the whole world including India. Due to this decision, the US stock market Dow Jones has seen a fall of more than 220 points. During trading, the US stock market Dow Jones came down below 30,500 points.
Some experts also believe there might be a complete percentage point move as the US Central Bank is facing enormous pressure to control the demand and reduce the surge in consumer prices.
High-interest rates, slow growth, and a soft market will hurt a lot of houses and people, but this will also result in the downfall of inflation. The Fed will continue doing this until the job is completely done. Inflation is currently at its highest level in 40 years.