- The Fed is expected to raise its benchmark interest rate again this month by 75 basis points.
- More rate hikes are expected, too, this year as the Fed battles surging inflation.
- Consumers should prepare by locking in fixed rates, refinancing, and paying off high interest debt.
Investors should expect those higher costs to head even higher.
The Fed’s policymaking committee on Wednesday raised its benchmark short-term fed funds rate by 75 basis points, as expected, after 12-month June consumer inflation accelerated to a 9.1% pace from 8.6% in May. The move brings the fed funds target range to 2.25% and 2.5%.