Skip to Content

The Fed indicated rates will remain higher for longer. What does that mean for you?

By CORA LEWIS
Associated Press

NEW YORK (AP) — The Federal Reserve’s decision Wednesday to keep its benchmark rate at a two-decade high should have ripple effects across the economy. Mortgage rates, credit card rates, and auto loan rates will all likely maintain their highs, with consequences for consumer spending. The Fed has indicated it doesn’t plan to cut interest rates until it has “greater confidence” that price increases are slowing to its 2% target. The central bank kept its key rate at roughly 5.3%, where it has been since last August. While inflation has cooled from a peak of 7.1% to 2.7%, average prices remain well above pre-pandemic levels.

Article Topic Follows: AP National

Jump to comments ↓

Author Profile Photo

Associated Press

BE PART OF THE CONVERSATION

KIFI Local News 8 is committed to providing a forum for civil and constructive conversation.

Please keep your comments respectful and relevant. You can review our Community Guidelines by clicking here

If you would like to share a story idea, please submit it here.

Skip to content