Fed Raises Interest Rates to Highest Level in 22 Years

Federal Reserve Board Chairman Jerome Powell speaks during a news conference following a Federal Open Market Committee meeting at the Federal Reserve in Washington on July 26, 2023. Saul Loeb/AFP via Getty Images

The Federal Reserve raised the federal funds rate by 25 basis points at the July Federal Open Market Committee (FOMC) policy meeting, lifting the target range to 5.25–5.50 percent. Rate-setting Committee members voted unanimously for the policy decision.

Interest rates are now at their highest levels since March 2001.