World

US Federal Reserve’s Top Official Believes Interest Rates Are At Or Near Their Peak

A senior Fed official stated Friday that interest rates in the United States are swiftly approaching if not already at, their highest level in the Federal Reserve’s ongoing battle against inflation.

Since March 2022, the US central bank has raised interest rates 11 times in an effort to contain inflation and bring it back down to its long-term target of two percent.

Although inflation has fallen dramatically in the last 12 months, it remains stuck persistently over the Fed’s target, even growing slightly over the summer, adding to the pressure.

In a statement, New York Fed President, John Williams stated, “My current assessment is that we are at, or near, the peak level of the target range for the federal funds rate”.

“I expect we will need to maintain a restrictive stance of monetary policy for some time to fully restore balance to demand and supply and bring inflation back to our 2 percent longer-run goal”, Williams continued.

Earlier Friday, the key US inflation index used by the Fed to decide interest rates rose again in August, pushed by rising energy prices.

Aside from unpredictable food and energy costs, which continue to hurt Americans at grocery stores and gas pumps, inflation actually fell last month to its lowest annual pace since 2021.

According to CME Group data, futures traders currently assign a likelihood of more than 80 percent that the Fed will keep rates unchanged at its November 1 meeting.

Also read: Russian President Claims Convicts Killed In Ukraine War Have Fully Redeemed Themselves

Spriha Rai

Recent Posts

Hina Khan Hails 11 Years Of PM Modi’s Leadership; Highlights National Progress

As the nation marks 11 years under PM Modi's leadership, actress Hina Khan shares her…

7 hours ago

Subhash Ghai Hails PM Modi’s Transformative Vision For India

Subhash Ghai has praised PM Narendra Modi’s leadership for catalysing India’s growth and changing the…

7 hours ago

India & Central Asia Boost Rare Earth Cooperation At Delhi Meet

India and five Central Asian nations have agreed to deepen cooperation on rare earths and…

8 hours ago

PM Modi’s Beej Se Bazaar Tak Vision Reshapes Indian Agriculture

Prime Minister Modi has redefined Indian agriculture with the ‘Beej Se Bazaar Tak’ vision, transforming…

8 hours ago

EV Sales Cross 4% Mark In May; Signalling Steady Shift To Green Mobility

EV sales topped 4% of passenger vehicle retail in May 2025, signalling growing demand for…

9 hours ago

Self-Reliant Defence Industry Marks India’s Strategic Security Ascent

One year into Modi 3.0, reforms have reduced poverty, strengthened defence, and accelerated the digital…

9 hours ago