What to know about US Federal Reserve’s first interest rate hike in 3 years

Live Click here to searchsearchSign upNavigation menucaret-left caret-rightEXPLAINERNews|Business and EconomyWhat to know about US Federal Reserve’s first interest rate hike in 3 yearsThe unanimous decision underscores the central bank’s commitment to lowering prices that have remained stubbornly high.

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O petróleo dispara para US$ 109, aumentando as chances de aumento das taxas de juros nos EUA.

3 de 3: US Fed aumenta as taxas de juros pela primeira vez em três anos.

The unanimous decision on Wednesday, supported by all 12 members of the Federal Open Market Committee (FOMC), raised rates by a quarter of a percentage point, underscoring the central bank’s commitment to lowering prices.

A taxa de referência do Fed está agora definida entre 3,75% e 4%.

The US Fed has a dual mandate of maximising employment and stabilising prices, maintaining a 2 percent inflation target.

Depois de disparar por anos durante a pandemia de COVID‑19, a inflação finalmente começou a diminuir em direção à meta. Mas, nos últimos anos, ela voltou a subir e atingiu 3.

That comes on the back of tariffs unleashed by President Donald Trump on most trading partners, as well as by the US war in Iran and increased spending on artificial intelligence.

The Fed said Wednesday’s rate increase “will support a timelier return to the Committee’s 2 percent goal”.

O aumento da taxa tem uma série de possíveis ramificações econômicas e políticas.

The increase will hit any US consumer who is paying interest on credit card debt. It will also make it even more expensive for those who hope to borrow for homes, automobiles and other expensive purchases.

The rate increase also comes at an inopportune time for Trump and the Republican Party, less than 50 days before the November midterm elections that will determine whether Republicans or Democrats control the US Congress.

18 a year ago, according to the American Automobile Association (AAA). Voters could opt to vent their frustrations at the ballot box, offering Democrats a chance to seize one – or even both – chambers.

Quanto tempo levará para isso se traduzir em preços mais altos.

US banks looking to borrow money from the Fed will immediately start paying the higher lending rate.

Consumers with credit cards, which generally have variable interest rates that closely follow the prime rate that banks charge their customers, could see their minimum payments increase within a month, as could home owners with variable interest rate mortgages.

The decision is a blow for Trump, who has frequently clashed with the Fed over lowering borrowing costs. Trump mounted a pressure campaign against the Fed’s previous chairman, Jerome Powell, over his resistance to doing so.

When Powell’s term ended earlier this year, Trump handpicked his successor, Kevin Warsh, who was placed in the job in May.

At the time, Trump said he would choose someone who supported lower interest rates.

No domingo, durante uma viagem à Irlanda, Trump disse que os EUA “devem estar pagando a menor taxa de juros do mundo” depois de ter ameaçado cortar uma grande seção do comércio dos EUA se as taxas não diminuíssem.

On Wednesday, Warsh was asked what his message for Trump was about the rate hike.

Nearly three hours after the interest rate decision was announced, Trump lashed out.

Membros do Fed indicaram na quarta‑feira que provavelmente haverá mais um aumento de um quarto de ponto este ano, e que essas taxas permaneceriam inalteradas até 2027.

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