The Federal Reserve on Wednesday approved its first interest rate hike since 2023, and signaled that another increase may follow before the end of the year.
Key facts
- The Federal Reserve approved an interest rate hike on Wednesday.
- It is the central bank's first rate hike since 2023.
- The Fed indicated another increase could come later this year.
- The decision was reported by CNBC on September 16, 2026.
The Federal Reserve on Wednesday approved an interest rate hike, marking its first such move since 2023, according to CNBC.
In addition to the increase, the central bank indicated that another rate hike could follow later this year, CNBC reported.
The decision represents a notable shift for the Fed, which last raised rates in 2023 before holding steady in the period that followed.
CNBC reported the decision on September 16, 2026, describing both the approved hike and the signal of a further increase to come.
The details of the move, including the size of the rate change and the reasoning behind it, were the focus of the Fed’s announcement, as reported by the outlet.
Why it matters
Interest rate decisions by the Federal Reserve influence the cost of borrowing for households and businesses, affecting everything from mortgages to credit cards and business loans. A hike after years of holding steady signals a shift in the central bank's approach that could ripple across the wider economy.
Frequently asked questions
When did the Federal Reserve last raise interest rates before this?
According to CNBC, the Fed's last interest rate hike before this decision was in 2023.
Is another rate hike expected this year?
Yes. CNBC reported that the Fed indicated another interest rate increase could come later this year.
When was this decision announced?
The Federal Reserve approved the rate hike on Wednesday, and CNBC reported the decision on September 16, 2026.