Fed delivers third-straight big hike, sees more increases ahead

Fed signaled more large increases to come in new projections showing its policy rate rising to 4.4% by the end of this year before topping out at 4.6% in 2023 to battle continued strong inflation

Federal Reserve Board Chair Jerome Powell (File photo: Reuters)

Federal Reserve Board Chair Jerome Powell (File photo: Reuters)

Federal Reserve officials raised interest rates by 75 basis points for the third consecutive time and forecast they would reach 4.6% in 2023, stepping up their fight to curb inflation that’s persisted near the highest levels since the 1980s.

In a statement Wednesday following a two-day meeting in Washington, the Federal Open Market Committee repeated that it “is highly attentive to inflation risks.” The central bank also reiterated it “anticipates that ongoing increases in the target range will be appropriate,” and “is strongly committed to returning inflation to its 2% objective.”

The decision, which was unanimous, takes the target range for the

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First Published: Sep 21 2022 | 11:36 PM IST

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