Fed hikes interest rates despite declining inflation, sets plan for balance sheet reduction
- The Federal Reserve announced a quarter-point rate hike Wednesday as expected.
- The central bank last increased its benchmark rate in March.
- It now believes inflation will fall well short of its 2 percent target this year.
- The statement gave more detail on how it will unwind its $4.5 trillion balance sheet.
Interest rates addressed at Fed meeting with Janet Yellen
Tom
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