The Fed raises interest rates for 10th time amid economic turmoil

The Federal Reserve reinforced its fight against high inflation Wednesday by raising its key interest rate by a quarter point to the highest level in 16 years. But the Fed also signaled that it may now pause its streak of 10 rate hikes, which have made borrowing for consumers and businesses steadily more expensive.

In a statement after its latest policy meeting, the Fed removed a sentence from its previous statement that had said “some additional” rate hikes might be needed. It replaced it with language that said it will consider a range of factors in “determining the extent” to which future hikes might be needed.

Speaking at a news conference, Chair Jerome Powell said the Fed has yet to decide whether to suspend its rate hikes. But he pointed to the change in the statement’s language as confirming at least that possibility. Mr. Powell said the Fed would continue to monitor the latest economic data in deciding whether to pause its hikes.

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