Fed Raises Interest Rates by 25 Basis Points in First Hike Since 2023

The Federal Reserve raised its benchmark interest rate by 25 basis points to a target range of 3.75%-4.00% in a unanimous decision, the first increase since 2023. Policymakers pointed to inflation still running above target and rising energy costs, while the median official's projections signal one more hike before the end of the year.