Americans Hit With Increased Interest Rates

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( – The Federal Reserve is expected to announced on Wednesday another increase in the interest rates which should help further lower inflation. In June, they had not agreed to an increase in interest rates which meant that borrowing costs were temporarily not increased again.

With the quarter percentage point hike that is expected federal funds rates would increase from 5.25% to 5.5% limiting even more the ability of people to borrow money for cars, homes, or other objects.

The new hike represents the highest rate that the nation has had since 2001, and the 11th increase in interest rates in the last year and a half.

Wall Street has turned their attention on Fed Chairman Jerome Powell who appeared at a press conference at 2:30 p.m. ET. The press conference was designed to give them additional information about what the next steps in the fight against inflation are going to be for the Feds. Powell left the possibility of another interest rate increase within this year open depending on what the new economic data is going to show.

Senior economist at Allianz Trade Dan North spoke out later about the details of the plan. He added that everyone was going to be looking for clues on whether or not the Feds feel like the job is completed and another interest hike is not necessary.

Policymakers have three more meetings left this year which are going to take place in September, November, and December.

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