Federal Reserve expected to raise rates again

The Federal Reserve was widely expected to increase US interest rates by a quarter point to 3.25 per cent at the conclusion of its FOMC meeting on Thursday 30 June.

The Dow Jones Industrial Average advanced 0.2 per cent to 10,398.96, while the S&P 500 index was 0 2 per cent up at 1,201.96. The Nasdaq Composite index added 0.2 per cent to 2,073.10.

To keep inflation under control, the Federal Reserve has raised short-term interest rates eight times - by one-quarter of a percentage point each tim