US Fed lifts interest rate by 75 bps for third straight time

The Federal Reserve raised today, Sept. 21 interest rates by 75 basis points (bps) in line with expectations. 

The Fed raised target interest rate to a range of 3%-3.25%, from 2.25% and 2.50%.
 
This is the third consecutive rate hike of that size, after the Fed hikes it in June and July.

The Federal Open Market Committee (FOMC) added that it seeks to achieve maximum employment and inflation at the rate of 2% over the longer run, after reaching 8.3% in August on an annual basis.

Inflation remains elevated, reflecting supply and demand imbalances related to the pandemic, higher food and energy prices, and broader price pressures.