The Daily Money: This isn't the Fed's first inflation rodeo

What does history tell us about how the Fed has fought inflation in the past? The central bank is poised to hike rates by another 75 basis points today? ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌  ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌

The Daily Money ALL THE MONEY NEWS YOU NEED TO KNOW   Wednesday, September 21 Happy Fed day to all who celebrate. I'm Elisabeth Buchwald with the latest edition of the Daily Money.  The Fed is expected to raise interest rates by another 75 basis points today. For consumers, that means it'll be even more expensive to take out loans and pay off credit card debt. And unfortunately, for some it could result in job losses down the line.  The Fed is doing this in an effort to bring down inflation, which currently hovers around a 40-year high of 8.3% annually. Economists expect the Fed to continue hiking rates until inflation hits its target of 2%. Using history as a guide  High inflation is hardly a new problem the Fed has faced. But each time, it's dealt with it a bit differently. For instance, in the 1980s the Fed attempted to strike a perfect balance between limiting inflation and promoting high levels of employment. (Spoiler alert: It didn't quite go as planned). The Fed is now testing the waters with how high it can raise interest rates to lower inflation without putting too much of a damper on employment. So far, it has been successful in that higher interest rates haven't resulted in higher unemployment, but at the same time, inflation hasn't really budged. 📰 More stories you shouldn't miss 📰 A recession is now likely in 2023: Here's what could trigger a sharp downturn in the economy. Sick leave policies: They're getting more attention after the threat of a railroad strike Massive wind turbines are coming: Will Biden's 'audacious' goal pay off? About The Daily Money Each weekday, The Daily Money delivers the best consumer news from USA TODAY. We break down financial news and provide the TLDR version: how decisions by the Federal Reserve, government and companies impact you. Elisabeth Buchwald is a personal finance and markets correspondent for USA TODAY. You can follow her on Twitter @BuchElisabeth. Interest rates: Why and how the Fed raises them to fight inflation The federal funds rate, and interest rates across the country, will increase again as the Federal Reserve seeks to bring down record-high inflation. Sick leave policies get more attention after threat of railroad strike Fed's next rate hike is expected to be big. How you should prepare. Orlando's new Terminal C turns airport design upside down A recession is likely, economists now predict. How could it happen? How banks say they are working to support Black communities How Universal Studios Hollywood stacks up against Universal Orlando When to buy your holiday plane tickets See Frank Lloyd Wright house in Wisconsin listed for less than $1... S&P 500, Dow and Nasdaq slide ahead of Fed rate hike, forecasts   Problem viewing email? View in browser Unsubscribe • Manage Newsletters • Terms of Service • Privacy Policy/Your California Privacy Rights • Privacy Notice • Do Not Sell My Info/Cookie Policy • Feedback © 2022 USA TODAY, a division of Gannett Satellite Information Network, LLC. 7950 Jones Branch Drive, McLean, VA 22102