Federal Reserve Raises Fed Funds Rate by Half-Point

On May 4, 2022, the Federal Reserve announced decisions to raise the target range for the federal funds rate to 3/4 to 1 percent — the highest increase in 22-years; and anticipates that there will be ongoing increases as the Federal Open Market Committee (FOMC) seeks to achieve a maximum employment and inflation of 2% over the longer run. The move comes at a time when the nation’s overall economic activity edged down in the 1st quarter, and the tremendous human and economic hardship caused by the invasion of Ukraine by Russia. Looking ahead, with appropriate firming in the stance of monetary policy, the FOMC expects inflation to return to its 2% objective and the labor market to remain strong.

Source:    https://www.federalreserve.gov/newsevents/pressreleases/monetary20220504a.htm

Source:    https://www.cnn.com/2022/05/04/economy/federal-reserve-interest-rate-hike/index.html