Fed raises rates by 75bps to 3.75% -4%, record since 2008. Powell: ‘terminal rate could be higher than expected’

Jerome Powell’s Fed announced it had raised its key benchmark rates by 75 basis points, as expected, for the fourth consecutive time.

With its monetary tightening, aimed at bringing back inflation growth in the United States, the Federal Reserve has raised rates from the range between 3% and 3.25% to the new range of between 3.75% and 4%, a record since 2008.

So said Jerome Powell, the president of the American central bank, in the press conference that followed the announcement on rates:

“We still have some way to go and the terminal rate is very uncertain. But the consumer price index (CPI) and the data on the labor market let me think that its value will be higher than previously expected ”.