Five Things to Keep in Mind About the Fed's Interest Rate Hike

After keeping interest rates at record lows for several years in response to the financial crisis of 2008, the Federal Reserve has been obliged to raise them due to rising inflation.

US Dollar Strengthening

On the surface, it would seem that rising prices would cause a currency's worth to decline.

After all, if you can buy your weekly groceries for $100 one month, but inflation means that the same grocery shop costs $110 a few weeks later, the purchasing power of a single dollar has reduced.

Expenses for Oil and Other Energy Sources Continue to Soar

One of the most volatile markets, oil has recently made news for its volatility as a result of tensions between Russia and Ukraine.

Nonetheless, inflation and increasing interest rates had already pushed up the price of oil prior to the conflict in Ukraine.