Federal Reserve raises interest rates by quarter point to combat inflation

The Federal Reserve Bank on Wednesday raised interest rates by a quarter of a point in an effort to fight inflation, putting its key interest rate of 5.5% at its highest level in 22 years.

While the Fed maintained interest rates last month after 10 straight hikes, the new target federal funds rate is in the range of 5.25% to 5.5%. The previous range set in May was 5%-5.25%.

The Fed's goal is to move inflation to 2%, and the Consumer Price Index Report for June showed that inflation is at 3%.

Madeleine Hubbard is an international correspondent for Just the News. Follow her on Twitter or Instagram.