According to the Fed member’s expectations, the central bank will likely add another 1.5 percentage points by the year’s end.America’s central bank raised the interest rate by 75 bps on June 15, as it was the highest increase in decades. The last 75 bps rate hike took place during Alan Greenspan’s tenure, as the central bank’s former lead shocked the nation with the drastic increase.
“Job gains have been robust in recent months, and the unemployment rate has remained low. Inflation remains elevated, reflecting supply and demand imbalances related to the pandemic, higher energy prices, and broader price pressures,” the Fed’s FOMC statement further explains.
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