The Federal Reserve is expected to indicate its intention to increase interest rates in the future to combat high inflation, despite the prevailing low unemployment rate. However, experts predict that the central bank will adopt a wait-and-see approach this month to evaluate the impact of previous rate hikes. Since March of the previous year, the Federal Open Market Committee has implemented ten interest rate hikes, resulting in the current key federal funds rate of around 5%. These rate hikes aim to curb overall demand and alleviate upward price pressure. Although inflation has slightly decreased, it remains above the Federal Reserve’s 2% target.
