Fed defies Trump raising rates

The Federal Reserve announced a widely expected quarter-point increase in its benchmark interest rate on Wednesday, and signaled that it plans to continue raising rates next year.

The Fed emphasized the strength of economic growth in a statement released after a two-day meeting of its policymaking committee. It said firms keep adding jobs and consumers keep spending money.

The statement made no mention of recent turbulence in financial markets.

The Fed’s announcement offered a few crumbs for critics, including President Trump, who have urged the central bank to stop raising rates. In previous statements, the Fed had said it planned “further gradual increases” in its benchmark rate, conveying to investors that additional hikes were expected. Wednesday’s statement slightly calibrated those expectations by adding the word “some” to the beginning of that phrase, suggesting that the pace of rate increases is likely to slow.