Fed Raises Interest Rates By Quarter Point, Signals Additional Hikes As Economy Remains Strong
- The Federal Reserve raised interest rates by a quarter point at its May meeting amid a strong labor market and stable inflation.
- Fed Chairman Jerome Powell indicated there may be more rate hikes over the coming months if economic conditions remain robust.
- The Fed policymakers previously signaled they expected two more rate hikes this year following their decision to boost rates in March.
- The Fed tightened policy amid expectations US economic growth will remain solid this year, driven by strong consumer spending and business investment.
- The US central bank's quarter point increase took its benchmark interest rate to a range of 2.25% to 2.5%, the highest level since 2008.
Barron's 
