Fed slows to a 50 bps rise and signals a higher peak rate
What happened. On 14 December 2022 the Federal Reserve raised its target range by 50 basis points to 4.25-4.50%, after four increases of 75 bps, and projected a median peak rate of 5.1% in 2023.
Why it matters for investors. The slower pace was balanced by a higher expected peak. Markets watched whether rates would stay high for longer than previously assumed.
Event date: 14 Dec 2022. Source: Federal Reserve Board, FOMC statement and projections.
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