NEW YORK, 01 FEB – The Fed raises interest rates by 0.25%. The cost of money thus rises in a range between 4.5% and 4.75%, the highest since September 2007. “Inflation has slowed down but remains high”, says the Fed which aims to achieve its objectives maximum employment and 2% inflation. “In support of these targets, the Fed has decided to raise rates bringing them to a range between 4.5% and 4.75%. We anticipate that the current increases will be appropriate to achieve a “sufficiently restrictive” monetary policy to bring inflation back to 2%, reads the note released at the end of the meeting. “We will take into account economic and financial developments in determining the extent of future hikes. We are strongly committed to returning inflation to the 2% target”, highlights the note, which shows that the Fed unanimously voted for the 0.25% increase. (HANDLE).
(ANSA)
