The US Federal Reserve has hiked its key rate by 25 basis points to combat inflation, but kept the door open to more interest rate increases in 2023. Fed chair Jerome Powell also stressed the central bank’s dedication to ensuring financial stability as well as fighting inflation. He said there was a broad research consensus that financial crises reduced credit, slowing economic growth. Despite a perceived increased likelihood of interest rate increases at the start of the month, Powell said it was still too soon to know the exact extent of the recent volatility. Tech bank Silicon Valley Bank’s difficulties were also mentioned, with Powell providing assurances that such problems would not affect depositors. Some economists interpreted the policy update as a sign that the end may be approaching for the central bank’s aggressive cycle of rate hiking.

Possible rewritten titles:

– Federal Reserve raises interest rates, but rules out cuts for now
– Interest rates go up as Federal Reserve holds off on cutting them
– Federal Reserve increases rates, but avoids discussing potential reductions
– Rate hike by Federal Reserve doesn’t include any talk of cutting rates
– No rate cut in sight as Federal Reserve boosts interest rates


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