US Federal Reserve Chairman Jerome Powell announced today, Wednesday, that inflation in the country is very high, which justifies the decision to raise interest rates again by 75 basis points.
In a statement, Powell said the “extraordinary” rate hike could be one of the Fed’s attempts to quell the worst rise in inflation in more than four decades without destroying the world’s largest economy.
Notably, this hike is the second consecutive 75 basis point hike, and the fourth time interest rates have been raised this year, as U.S. central bankers have taken aggressive action to curb the worst rise in inflation in more than four decades to avoid a recession. in the largest economy in the world.
The Fed pointed to data showing weakness in “spending and production” even amid strong job growth.
Source: AFP