at 2 a.m. Beijing time on July 28, the Federal Reserve announced that it would raise the target range of the federal funds rate by 75 basis points from 1.50%-1.75% to 2.25%-2.50%, which is in line with market expectations. This is the second consecutive 75 basis points increase by the Federal Reserve. The Federal Reserve said that it is expected that it will be appropriate to continue to raise the target range.
< / div > since this year, the Federal Reserve has raised interest rates four times, with a cumulative rate increase of 225 basis points. The previous three interest rate increases were in March, may and June, with 25, 50 and 75 basis points respectively. 75 basis points is also the largest single rate increase of the Federal Reserve since November 1994.
< div class=" contheight "> < / div > on July 13, the U.S. Bureau of labor statistics data showed that the U.S. CPI in June increased by 9.1% year-on-year, the highest increase since November 1981, with the previous value of 8.6%. The U.S. core CPI in June increased by 5.9% year-on-year, with the previous value of 6%.
< div class=" contheight "> < / div > the Federal Reserve reiterated its firm commitment to the goal of restoring inflation to 2% in this resolution statement.
< div class=" contheight "> < / div > at the same time, the Federal Reserve will continue to reduce its holdings of U.S. Treasury bonds, institutional debt and institutional mortgage-backed securities, and implement the plan to reduce the size of the Federal Reserve’s balance sheet released in May.
< div class=" contheight "> < / div > for the assessment of the economy, this statement said that” recent expenditure and production indicators have weakened “, and deleted” overall economic activity rebounded after a slight decline in the first quarter. ” 。 In the imbalance between supply and demand reflected by high inflation, the statement added a factor of rising food prices< Br > < div class= "contheight" > < /div> it is worth noting that all the voting committees of the Federal Reserve Open Market Committee (FOMC) at this meeting unanimously passed the resolution of raising interest rates by 75 basis points. At the interest rate meeting in June, Esther George, chairman of the Kansas City fed, opposed a 75 basis point increase in interest rates and advocated a 50 basis point increase< br>
< div class=" contheight "> < / div > on July 13, the U.S. Bureau of labor statistics data showed that the U.S. CPI in June increased by 9.1% year-on-year, the highest increase since November 1981, with the previous value of 8.6%. The U.S. core CPI in June increased by 5.9% year-on-year, with the previous value of 6%.
< div class=" contheight "> < / div > the Federal Reserve reiterated its firm commitment to the goal of restoring inflation to 2% in this resolution statement.
< div class=" contheight "> < / div > at the same time, the Federal Reserve will continue to reduce its holdings of U.S. Treasury bonds, institutional debt and institutional mortgage-backed securities, and implement the plan to reduce the size of the Federal Reserve’s balance sheet released in May.
< div class=" contheight "> < / div > for the assessment of the economy, this statement said that” recent expenditure and production indicators have weakened “, and deleted” overall economic activity rebounded after a slight decline in the first quarter. ” 。 In the imbalance between supply and demand reflected by high inflation, the statement added a factor of rising food prices< Br > < div class= "contheight" > < /div> it is worth noting that all the voting committees of the Federal Reserve Open Market Committee (FOMC) at this meeting unanimously passed the resolution of raising interest rates by 75 basis points. At the interest rate meeting in June, Esther George, chairman of the Kansas City fed, opposed a 75 basis point increase in interest rates and advocated a 50 basis point increase< br>