Fed hikes another 25 basis points
Hike comes as US inflation runs at target, and emerging markets complain of funding squeeze
The Federal Reserve has implemented its second rate hike of 2018, raising the target band for the federal funds rate by another 25 basis points.
At today’s (June 13) meeting of the Federal Open Market Committee (FOMC), policymakers voted unanimously to raise the federal funds rate to 1.75–2%. The effective market rate has tended to sit in the upper part of the range; up until today it was at 1.7%.
Policymakers cited both rising inflationary pressures and “strong job gains” as key reasons for
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