BREAKING: Fed raises interest rates by .25 percent in 8th increase since March

The move marks the eighth increase delivered by the Federal Reserve since March of 2022, with the Fed’s target interest rate now being set between 4.50 and 4.75 percent, its highest level since 2007, according to CBS News.

The Fed has signaled that additional interest rate hikes could be seen in the future, noting "ongoing increases in the target range will be appropriate," as they attempt to bring inflation down to a 2 percent annual rate.

Between December 2021 and December 2022, consumer prices rose 6.5 percent, with fuel oil prices increasing by 41.5 percent, food increasing by 10.4 percent, and airline fares increasing by 28.5 percent, according to Bureau of Labor Statistics data.

"My colleagues and I understand the hardship that high inflation is causing and we are strongly committed to bringing inflation back down to our 2 percent goal," Federal Reserve Chair Jerome Powell said in a press conference.

Powell noted that the "US economy slowed significantly last year," with subdued consumer spending, higher mortgage rates, and a demand for labor that exceeds available workers as reasons for the increase.

"We are seeing the effects of our policy actions on demand in the most interest-sensitive sectors of the economy, particularly housing. It will take time, however, for the full effects of monetary restraint to be realized, especially on inflation."

Powell added that "reducing inflation is likely to require a period of below-trend growth and some softening of labor market conditions. Restoring price stability is essential to set the stage for achieving maximum employment and stable prices over the longer run."

This is a breaking story and will be updated.