Fed meeting live updates: Fed hikes interest rates by 25 basis points as Warsh vows 'timelier return' to 2% inflation

The Federal Reserve voted to raise interest rates by 25 basis points on Wednesday to a range of 3.75%-4% amid persistently high inflation. The decision was unanimous.The median Fed official expects one more rate hike this year, according to the central bank’s Summary of Economic Projections, also known as the dot plot.The move was the Fed's first increase in the fed funds rate since 2023, when the Jerome Powell-led central bank concluded its post-pandemic hiking campaign. It was also largely priced in by the market, even as Federal Reserve Chairman Kevin Warsh has been adamant about not providing markets with forward guidance.Read more: How the Fed rate decision affects your bank accounts, loans, credit cards, and investmentsStocks were little changed when the decision was first announced but turned lower during Warsh’s brief press conference.Here’s a recap of what Warsh said in the presser:The Fed’s focus remains trained on inflation: "Our predominant focus is on the price stability side of our mandate," Warsh stated. "The plain fact is that inflation is too high and has been for too long."Warsh stays mum on White House pressures: Warsh did not comment on concerns about Fed independence or President Trump’s outspoken calls for lower interest rates. “We stay in our lane," Warsh said. "We'll let people that do trade policy and fiscal policy stay in their lane too.”Warsh says Fed rate hike will be good for “least well-off” Americans: Warsh framed the Fed’s policy decision as offering “good news” for Americans who don’t own financial assets or have home equity built up. He said that price stability helps consumers because “when they get their wages, they can put their head above water and deliver real take-home pay increases.”