New York: March 22 is going to be an important day for the entire world economy. On this day, the US Federal Reserve (Fed) may take an important decision regarding the interest rate. The Fed Reserve will announce the decision on Wednesday night Indian time. If the Fed hikes interest rates, it will have a direct impact on stock markets around the world and the Indian stock market will not be spared. As Silicon Valley Bank and Signature Bank went bankrupt in America, it will not be easy for the Fed to take any decision this time. In addition, the inflation rate in the United States is above 6 percent in February.
The US Federal Reserve is likely to raise interest rates by 0.25 percent, taking the policy rate to 4.75 percent. Lisa D. Cook, a member of the Federal Reserve Board of Governors, expressed concern in January 2023 that despite some recent positive signs, inflation in the United States remains too high. And she said she was committed to bringing inflation back to the US’s two percent target. Likewise, Fed Reserve Chairman Jerome Powell signaled an increase in interest rates in a statement on March 7.