Federal Reserve raises interest rate | What it could mean for you:

The U.S. Federal Reserve increased its benchmark interest rate by a quarter-point on Wednesday, marking the first rate hike since the summer of 2023. The central bank's policy decision aims to address broader economic conditions and carries direct implications for consumer finances and household wallets.

Following the U.S. decision, policymakers expect additional rate increases later in the year. The move has also resonated internationally, with financial markets pricing in a nearly 90 percent probability that Australia's reserve bank will follow suit with a rate hike in September.