Fed raises rates for third time this year amid strong US growth

One more rise expected this year

Tom Eckett
clock • 2 min read

The Federal Reserve raised interest rates on Wednesday by 0.25%, while signalling another hike in December and three more next year.

As widely expected, the Federal Open Market Committee (FOMC) raised rates to a range of between 2% to 2.25%. This is the central bank's eighth rate hike since it began its current tightening cycle in December 2015. The FOMC dropped language in its latest minutes saying that "the stance of monetary policy remains accommodative". Daniel Murray: Is there really no end to US growth? In its latest quarterly projections, the Fed predicted GDP to rise to 3.1% this year, up from the 2.8% prediction in June, while the forecast for 2019 rose 0.1 percentage points (ppt) to 2.5%. Federal...

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