Fed Hikes Rates Another 50 Basis Points

The video discusses the Federal Reserve's interest rate projections, indicating a rise to 5.1% by the end of 2023, with potential further increases. Rates are expected to decrease in 2024 and 2025. Economic growth is forecasted to be modest, with concerns about a potential recession. Inflation and unemployment rates are projected to remain elevated. The Fed's decision was unanimous, reflecting a more hawkish stance than anticipated.

What is the expected interest rate increase by the end of 2023 according to the Federal Reserve's median dot?

• 25 basis points

• 100 basis points

• 75 basis points

• 50 basis points

In 2024, what is the median forecast for interest rates?

• 4.1%

• 2.1%

• 3.1%

• 5.1%

What is the long-term neutral interest rate according to the Federal Reserve?

• 2.5%

• 4.5%

• 5.5%

• 3.5%

What is the expected unemployment rate by the end of next year?

• 4.8%

• 4.6%

• 4.4%

• 5.0%

By the end of 2025, what is the projected core inflation rate?

• 2.1%

• 2.5%

• 3.1%

• 3.5%