The Federal Reserve raises interest rates 0.75 points, the largest increase in almost three decades

The United States Federal Reserve (Fed) announced this Wednesday a rise in the official interest rate of 0.75 points, the largest increase in 28 years, to fight runaway inflation.

With this increase -which is the third since the Fed began to raise rates in March-, the official interest rate of the largest economy in the world is placed in a range between 1.5% and 1.75% . In addition, the Board of Governors of the Federal Reserve has advanced in a statement that it expects to carry out more increases in the future.

Wednesday's announcement marks the biggest rate hike since 1994, when Bill Clinton was in the White House and the Fed was headed by the historic Alan Greenspan.

On the other hand, the Fed has explained that it will continue to reduce its public debt portfolio of the US Government, mainly made up of Treasury bills and securities backed by mortgage loans. The central bank accumulates some $9 trillion in US debt.

As it did in June, the Fed will sell off $30 billion in Treasury bills and $17.5 billion in mortgage-backed securities each month in July and August.

Starting in September, these monthly figures will rise to $60 billion and $35 billion, respectively, and the process will end when levels considered "slightly above" what the bank considers "ample reserves" are reached.

"The committee is strongly committed to the goal of bringing inflation back to 2%," the US central bank said.

Last Friday it became known that inflation in the United States shot up in May to its highest rate in the last 40 years, at 8.6%, a new rise in consumer prices pushed above all by the sharp increase in the price of Energy.

Just one day later, on Saturday, the price of a gallon of gasoline (3.78 liters) at gas stations in the country reached 5 dollars, a figure never before recorded.

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