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The Federal Reserve, the central bank of the United States, raised its key interest rate by 0.75 percentage points all at once.
The Fed said it could raise interest rates by 0.75 percentage points in the next month as well.
Correspondent Kim Jong-won reports from New York.
The
US Federal Reserve has decided to raise its key interest rate by 0.75 percentage points.
[Jerome Powell / Chairman of the U.S. Federal Reserve System: At the Fed Monetary Policy Meeting, we decided to raise the base rate by 0.75%p.
In addition, it was judged that it would be appropriate to raise the interest rate further in the future.]
For the first time in 28 years since 1994, the US has taken the so-called giant step of raising the base rate by 0.75 percentage points at once, and the base rate is now 1.75% from 1.5%. level has risen significantly.
Even last month, when interest rates were raised by 0.5 percentage points at once, Fed Chairman Powell drew a line that there would be no 0.75 percentage points increase, but the record inflation rate far exceeded the Fed's expectations.
Chairman Powell said he could take another giant step at the monetary policy meeting next month.
[Jerome Powell/Chairman of the US Federal Reserve: We raised interest rates by 0.75%p today, and there is a high probability that we will raise rates between 0.5 and 0.75%p next month.]
Meanwhile, President Biden, whose approval rating is soaring due to soaring inflation, even sent a letter of pressure to oil refineries to increase production in order to catch oil prices that are hitting new highs day by day.
[Carinne Jean-Pierre/White House Spokesperson: Oil companies must do everything they can to increase supply and lower oil prices.
But instead, they're focused on making record profits for American families.]
Today (16th) New York Stock Exchange closed higher in all three major indices on hopes that the Fed's superpower will ease inflation.