The Federal Reserve raised interest rates for the second time in three months Wednesday, bumping the benchmark rate by one quarter-point. Wednesday’s rate hike shows Fed officials “forged ahead with an interest-rate increase and additional plans to tighten monetary policy despite growing concerns over weak inflation,” Bloomberg noted. The Fed’s inflation target is 2 percent; the core consumer price inflation mark as of Wednesday was 1.7 percent. The Fed additionally signaled Wednesday that it would raise rates one more time in 2017 and three times in 2018, each time likely by a quarter-point.
BREAKING: Federal Reserve raises key interest rate and unveils plans to start trimming bond holdings.
— The Associated Press (@AP) June 14, 2017