Takeaways From the Fed’s Decision to Raise Interest Rates

Mr. Warsh declined to discuss whether this rate increase was the first of a series of moves or just a one-off, which would be unusual for the Fed. Instead, he said the move was about “removing a dose of accommodation so that financial and credit conditions would be more consistent” with the Fed’s goals of low, stable inflation. Given his assessment that the economy is on solid footing, coupled with officials’ new forecasts that show a slower retreat in inflation, this is unlikely to be the last adjustment from the Fed. In fact, new projections showed broad support on the Fed for at least one more increase this year.