In efforts to combat raising inflation and cost of living pressures, both the US Federal Reserve and the Reserve Bank of Australia have announced increases to their interest rates. While in the United States, the rate was last increased in 2018, in Australia the announcement yesterday marked the first rate increase in more than 11 years. The US Federal Reserve is expected to raise US interest rates by another half percentage point again tomorrow after it had approved a 0.25 per cent increase earlier in March.

US and Australian interest rates, 2016-2022

Source: USSC