Why The Federal Reserve Is Raising The Interest Rate To Fight Rising Inflation | Forbes


The stock market surged higher on Wednesday after the Federal Reserve raised interest rates by 0.5% in a move widely-anticipated by investors, as the central bank continues on its path of aggressive monetary policy tightening in a bid to combat surging inflation.

Traders expect the Federal Reserve to continue aggressively raising interest rates in the next few months, and with the federal funds rate now at a range of 0.75% to 1%, current market expectations are for the rate to reach 3% by the end of 2022.

Read the full story on Forbes: https://www.forbes.com/sites/sergeiklebnikov/2022/05/04/dow-jumps-600-points-after-federal-reserve-hikes-interest-rates-by-half-percentage-point/?sh=435a7fb179ce

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