Watch: Why has the Federal Reserve raised interest rates?
Summary
The Federal Reserve has increased U.S. interest rates from 3.5%-3.75% to 3.75%-4%. This is the first rate hike in three years and is meant to help reduce inflation.Key Facts
- The Federal Reserve raised interest rates to between 3.75% and 4%.
- The previous rate was between 3.5% and 3.75%.
- This increase is the first since three years ago.
- The goal of raising rates is to lower inflation, which means slowing down price increases.
- Higher interest rates usually make borrowing money more expensive for people and businesses.
- The Federal Reserve controls these rates to help manage the economy.
- Inflation has been a concern that influenced this decision.
This is a fact-based summary from The Actual News. Click below to read the complete story directly from the original source.