US Fed hikes key interest rates by 25 bps to 22-year high

The US Federal Reserve raised its benchmark interest rate by 25 bps to a 22-year high on Wednesday. The benchmark overnight interest rate has now been raised to the 5.25%-5.50% range, bringing the borrowing costs to the highest level since January 2001. Last month, the central bank had left the interest rates unchanged after 10 consecutive hikes since March 2022.