Write For Us

Fed raises interest rates for third time in 2018, citing job growth


Traders work on the floor of the New York Stock Exchange in New York City. The Dow climbed immediately following the Federal Reserve's policy announcement Wednesday that increased interest rates another quarter-percent. File Photo by John Angelillo/UPI

By Ed Adamczyk, UPI

The Federal Reserve raised federal interest rates another quarter-percent Wednesday, to 2 1/4 percent.

It was the third interest rate increase this year by the Federal Open Market Committee.

"Economic activity has been rising at a strong rate. Job gains have been strong, on average, in recent months, and the unemployment rate has stayed low," the FOMC said in a statement. "Both overall inflation and inflation for items other than food and energy remain near 2 percent."

The Dow Jones industrial Average was up slightly before the Fed's decision Wednesday, but gained an additional 35 points immediately after the announcement. The Dow typically shows little movement on days of Fed policy announcements.

The Fed also offered projections for the economy -- calling for a change in real GDP in 2019 of 3.1 percent, above the 2.8 percent goal of the Trump administration. The Fed said it expects the GDP to fall to 2.5 percent next year, to 2 percent in 2020 and 1.8 percent in 2021.

Unemployment is expected to stay relatively steady through 2021, it said, with projections of 3.5 percent -3.7 percent. Inflation is expected to stay in the 2 percent range for the next three years.

A potential wildcard in the Fed's projections is U.S. trade policy. Wall Street has focused on strong economic data and corporate fundamentals instead of tariffs and other trade issues. Experts say short-term volatility based on fears that trade disputes, notably between the United States and China, could bring chaos to markets.


Note: If you think this story need more information or correction, feel free to comment below your opinion and reaction.
Like & Follow to Stay Updated ...


Alabama,1,Arizona,1,Barack,1,California,3,Colorado,1,Connecticut,1,Crime,531,Florida,1,Franc,1,Hawaii,8,Illinois,1,Los Angeles,2,Massachusetts,3,Mississippi,1,New York,130,U.S.,1558,Washington,4,
U.S. - U.S. Daily News: Fed raises interest rates for third time in 2018, citing job growth
Fed raises interest rates for third time in 2018, citing job growth
U.S. - U.S. Daily News
Loaded All Posts Not found any posts VIEW ALL Read More Reply Cancel reply Delete By Home PAGES POSTS View All RECOMMENDED FOR YOU LABEL ARCHIVE SEARCH ALL POSTS Not found any post match with your request Back Home Sunday Monday Tuesday Wednesday Thursday Friday Saturday Sun Mon Tue Wed Thu Fri Sat January February March April May June July August September October November December Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec just now 1 minute ago $$1$$ minutes ago 1 hour ago $$1$$ hours ago Yesterday $$1$$ days ago $$1$$ weeks ago more than 5 weeks ago Followers Follow THIS PREMIUM CONTENT IS LOCKED STEP 1: Share. STEP 2: Click the link you shared to unlock Copy All Code Select All Code All codes were copied to your clipboard Can not copy the codes / texts, please press [CTRL]+[C] (or CMD+C with Mac) to copy