The Fed said it expects to raise rates twice more this year. At the same time, it increased its estimate for rate hikes in 2019 from two to three, reflecting more optimistic expectations for growth and low unemployment. WASHINGTON—The Federal Reserve is raising its key interest rate and signalling confidence in the U.S. economy’s durability but plans to continue a gradual approach to rate hikes for 2018 under its new chairman, Jerome Powell. Some investors had speculated that Powell might move to impose his mark on the Fed by signalling a faster pace of rate hikes for 2018. Wednesday’s forecast put the Fed long-term rate — the point at which its policies are neither boosting the economy nor holding it back — at 2.9 per cent.

Source: thestar March 21, 2018 18:31 UTC