Fed expected to hike interest rates for first time since 2023. See what it means for your money.

The Federal Reserve is expected to raise its benchmark interest rate on Wednesday, the first increase in more than three years, as it tries to cool stubborn inflation tied to high energy prices. Economists and market pricing largely point to a 0.25 percentage-point move at the Sept. 16 meeting, bringing the federal funds rate target to about 3.75%–4%. Inflation remains above the Fed’s 2% goal, with the CPI up 3.4% year over year in August. The decision will be announced at 2 p.m. ET, followed by a press conference with Fed Chair Kevin Warsh.