Economic Buzz: Fed Hikes Rates, Points To Four Rate Hikes In 2018

The Federal Reserve raised its key interest rates by a quarter point to 2% on Wednesday and signalled that two additional increases were on the way this year. The central bank now projects four interest rate hikes in 2018, rather than three as officials expressed confidence that the United States economy was strong enough for borrowing costs to rise without choking off economic growth. They continue to see three rate hikes in 2019. The vote was 8-0. Wednesdays rate increase was the second this year and the seventh since the end of the Great Recession and brings the Feds benchmark rate to a range of 1.75 to 2 percent.