The Federal Reserve has ended the year by increasing its benchmark interest rate from 2.25 percent to 2.5 percent, although Fed Chairman Jerome Powell has caveated this rise by suggesting that 2019 would hold fewer hikes than previously estimated. This interest rate rise is the fourth of the year and was widely expected, although it is not welcomed by all.
At a time of global economic uncertainty and Wall Street volatility, this interest rate has prompted some commentators to suggest that the Federal Reserve is operating in a manner ignorant of harsh realities. Others have greeted this news with greater positivity, with the rising interest rate set to benefit many traders in forex markets and a theoretical indication that the United States is in a period of economic prosperity. Read more…