At the next meeting, the US Federal Reserve raised the base rate by 0.25 percentage points, to 4.75-5% per annum.
The decision on the increase was made unanimously and coincided with the expectations of most analysts. In its statement, the Fed stressed that in the long term it continues to strive for inflation of 2%.
The agency also mentioned the recent bankruptcy of several large banks, noting that although the scale of the consequences of this is “unclear,” in general, the American banking system is “reliable and stable.”
For the first time in a long time, the consequences of the coronavirus pandemic and the war in Ukraine were not separately mentioned in the press release.
The last time the rate was at such a high level was in 2007.
The increase was the eighth in the last 12 months. During this time, in total, the Fed raised the rate by 4.5 percentage points.