The Federal Reserve raised its benchmark interest rate by a quarter percentage point on Wednesday, lifting the federal funds target range to 3.75%–4%. The unanimous 12-0 decision marked the first increase since July 2023, after five consecutive meetings in which policymakers held rates steady [allsides.com]. Fed Chair Kevin Warsh said inflation remained too high and that energy-price increases linked to the Iran war, along with other price pressures, required action to bring inflation back toward the central bank’s 2% goal [washingtonpost.com][marketwatch.com][euronews.com][rthk.hk]. The Fed’s new projections pointed to at least one additional increase before the end of 2026: 16 of 18 officials expected another hike, while the median forecast implied a range of 4%–4.25%. Officials raised their forecast for 2026 headline personal-consumption-expenditures inflation to 3.7% and projected a return to the 2% target in 2029 [thenews.com.pk][hurriyetdailynews.com][alarabiya.net]. The decision could increase borrowing costs for credit cards, auto loans and some business financing, while President Trump continued to press for rates of 1% or lower [npr.org][cnbc.com]. Highlights: • Inflation readings: Consumer prices rose 3.4% from a year earlier in August, while gasoline prices increased 3.9% during the month [rt.com]. • Labor market: Employers added 162,000 jobs in early September, and Fed officials lowered their unemployment-rate projection to 4.1% [talkingpointsmemo.com][thenews.com.pk]. Perspectives: Federal Reserve: Warsh said the committee based its decision on its assessment of economic conditions rather than financial-market demands, and described protecting price stability as the mandate Congress assigned to the central bank [dawn.com][pbs.org]. (Dawn) President Donald Trump: Trump said he had spoken with Warsh before the vote and told him to do what he wanted, while separately arguing that the Fed’s board was hostile and political [washingtonpost.com][nypost.com]. (The Washington Post) Peter Navarro: White House trade and manufacturing adviser Peter Navarro called the increase a bad decision, arguing that higher rates would compound the economic effect of elevated fuel prices caused by the Iran conflict [cnyes.com]. (Cnyes) Julia Coronado: Economist Julia Coronado described the increase as a reassuring sign that the Fed was acting independently, while noting that higher rates create short-term economic costs [pbs.org]. (PBS NewsHour) "The plain fact is that inflation is too high, and has been for too long" — Kevin Warsh Sources: • As Fed rolls out its first interest-rate hike in 3 years, market braces for more increases - marketwatch.com • Fed raises interest rates by quarter point to tackle inflation - washingtonpost.com • Fed raises interest rate for first time since 2023, angering Trump - lemonde.fr • Fed raises interest rates for first time since 2023, defying Trump as inflation mounts - allsides.com • Federal Reserve hikes interest rates for first time since 2023 amid stubborn inflation - allsides.com • Stubborn inflation sets stage for Federal Reserve to hike interest rates - allsides.com • The Federal Reserve defies Trump with a unanimous rate hike six weeks before the midterms - elpais.com • In an effort to tamp down inflation, the Fed raises interest rates - csmonitor.com • Fed Raises Rates for First Time in Three Years - reddit.com • Interest rate hike a 'reassuring' sign Fed is acting independently, economist says - pbs.org • At Last, the Fed Begins to Do Its Job - nationalreview.com • US Federal Reserve raises interest rates for first time in 3 years, irking Trump - scmp.com • Trump’s Threats to Stop Trade Couldn’t Keep the Fed from Hiking Interest Rates - talkingpointsmemo.com • Fed hikes interest rates by quarter point - kxan.com • Fed raises interest rates, a sign of concern about rising prices: "Inflation is too high" - cbsnews.com • The Latest: Federal Reserve defies Trump, hikes key interest rate for first time in 3 years - wral.com • US Fed raises rates as inflation reignites price concerns - khaleejtimes.com • US interest rates rise as Fed signals another hike could be coming this year - thenews.com.pk • US Federal Reserve defies Trump with interest rate hike - france24.com • U.S. Federal Reserve Raises Interest Rates by Quarter Point - worldpoliticsreview.com • Fed defies Trump with first rate rise since 2023 - ft.com • US Fed hikes rates for first time since 2023 as inflation stays sticky - cgtn.com • U.S. Federal Reserve raises interest rates for the first time since 2023 - abc13.com • U.S. Fed hikes rates in push for 'timelier' drop in inflation - theglobeandmail.com • Fed raises US rates to tackle ‘too high’ inflation, irking Trump - bangkokpost.com • Fed signals another rate rise as inflation persists - hurriyetdailynews.com • Fed raises rates for the first time since 2023 in unanimous vote defying Trump - euronews.com • US Fed raises key rate for first time in 3 years - dw.com • US Fed hikes rates, says inflation too high - abs-cbn.com • US Fed raises interest rates and signals one more this year as inflation risks mount - thenationalnews.com • Fed hikes rates, sees more tightening in search of 'timelier' drop in inflation - brecorder.com • Fed, battling persistent inflation, ups rates 1st time in 3 years - asiatimes.com • Fed desafía a Trump y aplica primera alza en la tasa de interés en más de 3 años - latercera.com • Fed Raises Rates to Curb Inflation, Drawing Rebuke From Trump - bloomberg.com • US Fed raises key interest rate for 1st time since 2023 - mainichi.jp • Federal Reserve raises interest rates for first time since 2023 - silive.com • Fed hikes key rate for 1st time in 3 years, defying Trump demands for a cut - koreatimes.co.kr • Federal Reserve hikes key rate for 1st time in 3 years - floridarealtors.org • US Fed raises rates by 0.25pc to battle inflation - rthk.hk • La Fed desafía a Trump y sube los tipos por primera vez en tres años - larazon.es • US Federal Reserve raises rates for the first time since 2023, Wall St steady - thepost.co.nz • Fed tăng lãi suất lần đầu tiên sau 3 năm và định hướng chính sách tiếp theo - baochinhphu.vn • Fed raises interest rates for first time in 3 years amid persistent inflation - nbcnewyork.com • The Fed raises interest rates for the first time in over three years - npr.org • La Fed sube la tasa de interés por primera vez desde 2023 y Trump responde con nuevas presiones para que la baje - df.cl • Fed raises interest rate for first time in 3 years - wsws.org • Fed raises rates despite pressure from Trump to cut borrowing costs - wxyz.com • Fed raises rates in search of 'timelier' drop in inflation, sees more tightening ahead - brecorder.com • Fed Raises Rates in First Major Step by Warsh to Contain Inflation - nytimes.com • US Fed raises interest rates for first time since 2023, Trump sees move as personal attack - malaymail.com • Key Takeaways From Fed Decision to Raise Interest Rates - bloomberg.com • Federal Reserve raises fed funds rate with likely more to come - ft.com • Takeaways From the Fed’s Decision to Raise Interest Rates - nytimes.com • Fed hikes rates in search of ‘timelier’ drop in inflation, sees more tightening ahead - alarabiya.net • Federal Reserve raises interest rate | What it could mean for you: - wesh.com • Fed hikes rates in search of 'timelier' drop in inflation, sees more tightening ahead - aaj.tv • US Fed delivers first rate hike since 2023 - dawn.com • Federal Reserve hikes key rate for 1st time in 3 years, defying Trump's demands for a cut - wfla.com • Fed raises interest rates for first time in 3 years, battling persistent inflation - utahnewsdispatch.com • Federal Reserve raises interest rates for the first time since 2023 - cbsnews.com • La Federal reserve sfida l’ira di Trump e alza i tassi, prima volta in tre anni - ilmanifesto.it • Fed hikes rates as US inflation persists - rt.com • Trump says he told Fed chief to ‘do what you want’ ahead of interest rate hike - washingtonpost.com • Trump defends Fed chair Kevin Warsh after interest rate hike, blames ‘hostile board’ for ‘raise against Trump’ - nypost.com • Trump blames Fed board, not Warsh, for rate hikes - thehill.com • Trump criticises Fed chief Kevin Warsh after US interest rate hike - thehindubusinessline.com • Trump turns on his own Fed pick Kevin Warsh after rate hike to 4% - firstpost.com • President Trump said he was standing by Federal Reserve Chairman Kevin Warsh and that he spoke to him just before the central bank unanimously voted to raise interest rates - wsj.com • Le nouveau patron de la FED s’affirme face à Trump en relevant les taux directeurs - lesoir.be • La Fed desafía a Trump al subir los tipos de interés un cuarto de punto por primera vez en más de tres años - lavanguardia.com • Nye Fed-chefen trotsar Trump – höjer styrräntan - ystadsallehanda.se • Trump fails to bend the Fed to his will - ft.com • Fed-chefen trotsar Trump – höjer styrräntan - hbl.fi • Trump lashes out at Fed after Warsh backs rate hike - brecorder.com • Fed interest rate rises are back - ft.com • Trump Denied Rate Cut as Federal Reserve Targets War-Stoked Inflation - bloomberg.com • Trump lashes out at Fed after Warsh backs rate hike, says rates should be ‘1% or less’ - straitstimes.com • Trump kljub dvigu obrestne mere zaupa predsedniku Feda - sta.si • Fed unânime sobe juros contra a vontade de Trump e sinaliza mais subidas até final do ano - sapo.pt • Fed Chair Implies Trump Is Only Half Right on the Economy Following Rate Hike - decrypt.co • Trump investe contra Fed após Warsh apoiar alta dos juros - infomoney.com.br • US Fed Meeting Updates: Fed's Chair Defends Rate Hike; White House Slams 'Unfortunate' Decision - news18.com • Trump attacca la Fed dopo il rialzo dei tassi: «Il costo del denaro? Dovrebbe essere all’1%» - corriere.it • Met renteverhoging rekent Kevin Warsh definitief af met vragen over zijn onafhankelijkheid - nrc.nl • La Réserve fédérale américaine (Fed) remonte ses taux, quitte à agacer Donald Trump ? - lalibre.be • Trump: Har fortsatt tillit til sentralbanksjefen - nrk.no • Trump houdt vertrouwen in Fed-voorzitter ondanks rentekritiek - nd.nl • Trump says he still has confidence in Fed Chair Warsh, demands 1% or lower interest rates - cnbc.com • Fed-sjefens doble Trump-fornærmelse - dn.no • Warsh äänesti kuten piti, mutta jätti ennustamisen muille - kauppalehti.fi • Kampf gegen Inflation – US-Notenbank Fed geht auf Distanz zu Trump - srf.ch • トランプ米大統領、FRBは「敵対的」と非難も…ウォーシュ議長は擁護 - sankei.com • FRB利上げ決定、トランプ氏は批判　ウォーシュ議長の前途は多難? - asahi.com • 트럼프, 금리 올린 워시는 공격 안 해…“원하는대로 하라 했다” - hani.co.kr • Fed升1碼 川普：Fed升息前與華許談過 - cnyes.com • Fed sube tasas para contener la inflación pese a las presiones de Trump - perfil.com • 川普顧問納瓦羅痛批聯準會主席華許：升息是「愚蠢決策」 - cnyes.com • Bocian: Warsh går imod Trump – men gør ham måske en tjeneste - borsen.dk --- 📰 Story aggregated by Kagi News