Washington The US Federal Reserve (Fed) is battling rising inflation. For example, on Wednesday, it raised the key interest rate again by three quarters of a percent. It is now in the range of 2.25 to 2.5 per cent. The Fed is very keen to “bring inflation back to its 2 percent target,” stressed Fed Chair Jerome Powell in his press statement after the Fed meeting on Wednesday. But he also acknowledged that the Fed is far from there.

This is the Fed’s fourth rate hike this year. But the prices continue to rise till now. Inflation rose to 9.1 per cent in June. Therefore, further rate hikes are “appropriate,” Powell said.