Federal Reserve raises key interest rate again

Federal Reserve(WASHINGTON) — The Federal Reserve raised its benchmark interest rate again on Thursday, marking the third hike in six months.

The rate was boosted by a quarter of a point to 1.25 percent.

Following its meeting Thursday, the Fed did not change its forecast and says it still expects to raise rates one more time this year.

“Overall, we continue to expect that the economy will expand at a moderate pace over the next few years,” Fed chair Janet Yellen said.

That’s in spite of a sluggish economic to start of this year, according to Bankrate.com’s Greg McBride.

“At this point, they keep saying that the economic weakness is transitory, it’s going to pass, and raising interest rates at this meeting is consistent with that,” McBride explained.

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