The US central bank Fed makes a choice. It raises the key interest rate. The new rate is between 3.75 and 4.00 percent. This is the first rise since the year 2023. All members agree with this choice.
The central bank wants to stop the inflation. Prices for goods grow too fast. The goal of the bank is 2.0 percent. Energy is very expensive now.
President Donald Trump does not like the rise. He wants very low rates. The bank decides on its own.
The key interest rate is important for business. High rates make loans expensive for people and firms. People spend less money then. This helps to stop high prices. High rates are good for savers.
