- The Federal Open Market Committee (FOMC) has decided to raise rates by 25 basis points, taking the Fed funds rate to 5%- 5.25%.
- The Fed funds rate is now in line with CPI inflation which is also at 5%
- The FOMC said it seeks to achieve maximum employment and inflation at the rate of 2% over the longer run.
- In addition, the committee now says that it will consider prior actions, lags to policy, and economic and financial events in deciding on further actions, versus previous meetings, where the committee said that it anticipated additional rate increases.
- The consensus is now that the rate hikes will be paused to evaluate macroeconomic conditions.
- Following the news of the rate hike, Bitcoin was trading at $28,511 at press time, down 0.55% over the past 24 hours.