The Federal Reserve has officially increased interest rates by 25 basis points, representing the first rate hike enacted by the central bank since July 2023. This 0.25 percentage point rise concludes a significant period of policy maintenance.
The move officially ends the longest interest rate pause observed since 2008. By implementing this 25-basis point hike, the Fed has terminated a streak of unchanged rates that had remained in place since the previous adjustment in July 2023.