Higher interest rates are expected to slow inflation and the U.S. economy during the remainder of 2023 and into 2024, before the Federal Reserve reverses course and cuts interest rates.

The Federal Reserve said July 26 it no longer foresees a recession and raised its key interest rate by a quarter-point from roughly 5.1% to 5.3% — its highest level since 2001.

WASHINGTON — The Federal Reserve kept its key interest rate unchanged June 14 after having raised it 10 straight times to combat high inflation. 

WASHINGTON — Chair Jerome Powell indicated May 19 that the Federal Reserve likely will forgo an increase in its benchmark interest rate when it meets in June.

WASHINGTON — The Federal Reserve extended its yearlong fight against high inflation March 22 by raising its key interest rate a quarter-point.

WASHINGTON — The Federal Reserve extended its fight against high inflation on Feb. 1 by raising its key interest rate by a quarter-point, its eighth hike since March.

The Federal Reserve reinforced its inflation fight Dec. 14 by raising its key interest rate for the seventh time this year and signaling more hikes to come.

The Federal Reserve pumped up its benchmark interest rate on Nov. 2 by three-quarters of a point for a fourth straight time but hinted that it could soon reduce the size of its rate hikes.

Intensifying its fight against high inflation, the Federal Reserve raised its key interest rate Sept. 21 by a substantial three-quarters of a point for a third straight time and signaled more large rate hikes to come.

The Federal Reserve looks likely to keep short-term interest rates near zero for five years or possibly more after it adopts a new strategy for carrying out monetary policy.