News · Vectorial Data

The Fed raises its rate to 3.75%-4%, the first increase since 2023

September 17, 2026

WHAT HAPPENED

The Fed raised its interest rate from 3.50%-3.75% to 3.75%-4%, its first increase since 2023. It aims to curb inflation driven, among other things, by oil and gasoline.

WHY IT MATTERS

A higher rate makes credit cards, mortgages, cars, and business loans more expensive. This can reduce spending and cool prices, but it may also slow down hiring by companies. The dollar may strengthen and pressure the peso.

AND FOR YOUR PORTFOLIO

For your wallet, a $1,000 credit card debt would cost about $2 to $3 more per year due to this increase. In a portfolio, companies with a lot of debt — especially growing tech firms — may feel the impact of higher payments and reduced spending from their customers.

💬 TELL IT LIKE THIS

“The Fed is making money more expensive to cool prices, although this can also dampen consumption and pressure the peso.”