Continuing its fight against rising inflation, the US Federal Reserve, in the last week of July, raised interest rates to a 22-year high. It raised the rates by 25 basis points to a range of 5.25-5.5 per cent after pressing the pause button at the previous meeting of its rate-setting body, the Federal Open Market Committee. This is the 11th rate hike in the current cycle, the Fed’s most aggressive rate-raising cycle in 40 years — from near zero to the present level.
US inflation has declined for 12 straight months and was running at 3 per cent in June, down from over 9 per cent a year ago,
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First Published: Aug 06 2023 | 9:38 PM IST