US Federal Reserve Raises Interest Rates by 25 Basis Points

The US Federal Reserve announced a 25-basis-point increase in interest rates, bringing the target range to 3.75%–4%, marking the first rate hike since 2023.

In a statement, the Fed said inflation remains elevated, noting that the rate increase is intended to support its gradual return to the target level. It also highlighted continued high levels of economic uncertainty, citing several factors, including ongoing geopolitical developments.