Fed Leaves Rates Unchanged at 2022 High Despite Still-High Inflation

The Federal Reserve left interest rates unchanged despite still-high inflation. Rates remain at 5.25% to 5.5%, the highest in 22 years.

The Fed has raised rates sharply this year with 11 hikes, moving from near-zero to above 5% at the fastest pace since the 1980s.

Higher rates haven't stopped strong economic growth or hiring yet. GDP rose 4.9% in Q3, the best since 2021.

But officials cautioned tighter credit and rates could slow the economy soon. Long-term Treasury yields suggest the Fed may be done tightening.

Rates hikes aim to crush inflation and cool the economy. But they've also pushed mortgage rates above 8% for the first time in decades.