Federal Reserve Raises Interest Rates to 3.75–4.00 Percent, First Hike in Three Years

The Federal Reserve lifted its benchmark interest rate by a quarter of a percentage point on Wednesday, ending a three-year pause and pushing the target range to between 3.75 per cent and 4.00 per cent. The Federal Open Market Committee approved the increase unanimously, pointing to "elevated" inflation as the reason. According to the committee, the higher rate should help secure a "timelier return" to the central bank's 2 per cent inflation target. The decision sets up a likely clash with US President Donald Trump, who has repeatedly criticized the Fed's leadership. The SCMP report noted that the move, while aimed at containing rising prices, is certain to draw the president's anger. The article indicated further details would follow.