August 2023 Market Update – Fed hikes interest rates to highest in 22 years

Federal Reserve officials leave interest rates unchanged but suggest further increases lie ahead 

The S&P 500 index and Nasdaq climbed higher after the US Federal
Reserve (Fed) left interest rates on hold following 10 consecutive hikes.
The Fed’s decision leaves interest rates at 5% to 5.25%, a high not
previously seen since 2007. The annual pace of US inflation has eased
to its lowest level in more than two years, but even with the pause,
Fed officials have suggested two further increases may be needed this
year. US inflation slowed in May to 4% from a year earlier, down from
the 4.9% annual jump registered in April.