In its statement announcing the rate change, the Fed noted the slowing economy. “Recent indicators of spending and production have softened,” it said, adding that the Fed expects to make “ongoing increases” in its key interest rate as it strives to return inflation to its 2% target. Jack Ablin, chief investment officer at Cresset Capital, said he thinks inflation may have peaked in June and July. In their June forecast, Fed officials projected their main rate to end the year at nearly 3.5%. In recent days, some of the biggest companies, including Microsoft, General Motors, Alphabet and Walmart, have reported lower profits.

Source: Los Angeles Times July 27, 2022 20:46 UTC