Justin Boggs is a writer for the E.W. Scripps company. Justin covers anything from politics to sports and entertainment.
The Federal Reserve is set to announce on Wednesday whether it plans to reduce federal interest rates from their current 23-year high.
The Federal Reserve implemented a series of interest rate hikes in 2022 and 2023 to combat high inflation. Chair Jerome Powell has stated the Federal Reserve's goal is to reduce inflation to an annualized rate of 2%. The consumer price index rose by 4.7% in 2021, 8% in 2022 and 4.1% in 2023. In the last 20 years, consumer inflation has increased by 3.1% per year on average.
"We know that reducing policy restraint too soon or too much could stall or even reverse the progress we have seen on inflation," he said."At the same time, in light of the progress made both in lowering inflation and in cooling the labor market over the past two years, elevated inflation is not the only risk we face. Reducing policy restraint too late or too little could unduly weaken economic activity and employment.
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First interest rate cut in 4 years likely on the horizon as the Federal Reserve meetsWith the end of their two-year fight against inflation in sight, Federal Reserve officials...
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