The Fed hiked rates for the second time in a decade at the close of its two-day meeting on Wednesday, encouraged by signs of an improving economy and labor market.
As was widely expected, the Federal Reserve’s Open Market Committee said it would bump up its benchmark interest rate by 25 basis points to between 0.50% and 0.75%. The decision was unanimous.
The Fed also guided toward three rate hikes in 2017. That’s up from the two increases that officials had projected at their September meeting before Donald Trump was elected.