Fed Hikes Rates for First Time in Three Years; Dot Plot Projects One More Increase This Year

On the 17th, the Federal Reserve implemented its first interest rate hike in three years. The latest dot plot indicates one more rate hike this year, with rates expected to remain unchanged through 2027. The long-term interest rate projection has been raised to 3.2%, and policymakers generally expect inflation to remain elevated over the coming years.