Brind.

FOMC Raises Federal Funds Target Rate to 3.75%–4.00%

Steady: 0 in the last 7 days Updated sep 24

The latest in this situation

  1. The Federal Reserve and FOMC operate under a dual mandate established by Congress.

How it started

2 reports, 2 independent, last reported Oct 23. The briefing below covers this first event.

AI-generated briefing. Brind wrote this from the reports listed below. It can be wrong. Each section says how much you can rely on it, and the sources are linked so you can check.

What happened

Some supportReported by 1 outlet

The Federal Open Market Committee raised the federal funds target range by 25 basis points to 3.75%–4.00%. This was the first hike following a period of rate cuts, driven by concerns over inflation, which Fed Chair Kevin Warsh stated was "too high and has been for too long." Effective September 17, administered rates also moved in lockstep, with the interest on reserve balances rising to 3.90% and the primary credit rate moving to 4.00%.

From yahoo.com

Why it matters

Some supportBrind's analysis of the reports

The FOMC, which has 12 voting members, operates under the dual mandate from Congress of achieving price stability and maximum sustainable employment. The rate hike signals a shift in monetary policy intended to manage inflation expectations within the U.S. economy.

From yahoo.com

Who's involved

  • FEDThe main policy-setting body of the U.S. Federal Reserve System.
  • Federal Open Market CommitteeThe committee responsible for setting the target range for the federal funds rate.

Who could feel it

Possible knock-on effects

These are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.

  • US Dollar (Next day)Speculative

    Higher U.S. interest rates could attract foreign capital, potentially strengthening the market value of the U.S. Dollar.

How it developed

Newest first. Tap a step to see who reported it.
  1. Professors from Hamilton College and University of Akron commented on the Federal Reserve's dual mandate.Sub-event
  2. FOMC sets rates based on the Fed's dual mandate from Congress.1 source

Keep exploring

The entities involved

Related events

Coverage

Newest first; wire copies grouped