The Federal Reserve raised interest rates for the first time in three years and three months at the FOMC in March [New York = E-Daily Correspondent Kim Jong-nam] The US Federal Reserve raised the key interest rate for the first time in three years and three months. This is a full-fledged signal that the country is returning to austerity after ending the money loosening that has been going on since Corona 19.
The Fed announced that it would raise the benchmark interest rate by 0.25 percentage points to 0.25-0.50% at a regular meeting of the Federal Open Market Committee for two days on the 15th and 16th.
It is the first time in three years and three months since the Fed raised interest rates in December 2018. This is the first adjustment since the base rate was lowered to zero in 2020 due to the COVID-19 pandemic. The Fed is expected to continue tightening its stance throughout the year, starting with this hike.
Markets are watching to see if Fed Chairman Jerome Powell will send further hawkish signals at a press conference.
Federal Reserve Chairman Jerome Powell.