News Explorer — Fed Raises Interest Rate 25 Basis Points

Fed Raises Interest Rate 25 Basis Points

The Federal Reserve raised its key short-term interest rate by a quarter percentage point Wednesday, despite financial turmoil following Silicon Valley Bank’s collapse. The Fed acknowledged recent strains in the nation’s banks and said they will soften the economy, but added the financial system is stable. It underscored that its priority remains tempering consumer price increases, signaling that it’s close to winding down the hiking cycle.