Fed hikes interest rates another 0.75%

OAN Newsroom
UPDATED 5:59 PM PT – Wednesday, November 2, 2022

The Federal Reserve makes yet another drastic increase to interest rates.

The Central Bank made the move to raise interest rates 0.75% on Wednesday. This increase marks the sixth time this year interest rates have raised.

Federal Reserve Chair Jerome Powell spoke about the decision in a press conference. He said that there is significant uncertainty around the level of rates needed to bring down inflation. However, he said that there is still a way to go.

Jerome Powell's FOMC statement may have seemed dovish, but the Fed chair's remarks at his press conference were anything but. These were the key moments after the Fed raised rates by another 75 points https://t.co/wXl8h55G6F pic.twitter.com/C5OEqmRUj9

— Bloomberg TV (@BloombergTV) November 2, 2022

Despite continuing to take a restrictive approach, Powell said the U.S. economy is strong.

“Here in the United States, we have a stronger economy,” Powell said. “We have an economy where inflation is running at 5% at core PC inflation which is a really good indicator of what’s going on for us the way we see it is running at 5.1% of a 12-month basis and similar to that 3,6,9-month basis. So, we know we need to use our tools to get inflation under control.”

The Fed predicts that another hike will happen in December, likely at around half a percentage point.