The Federal Reserve on Wednesday raised the target range of the federal funds rate by 25 basis points to 4.5%-4.75%. In its statement, the FOMC maintained its previously stated language of "ongoing increases" in the target range. This suggests the Fed is likely to continue with quarter-point rate hikes at the next two meetings in March and May.
The Fed noted that inflation has eased somewhat but remains elevated, and adjusted its language slightly to include consideration of the “extent of future increases”, instead of the prior language of the “pace” of hikes.
Markets are anticipating Fed Chairman Jerome Powell to be hawkish in his conference call, however, many believe that his rhetoric is likely just for show.