The Federal Reserve raised the benchmark interest rate on Wednesday for the third time this year but showed no indication it would be more aggressive in efforts to head off inflation. The central bank boosted the lending rate to 2.0 percent - 2.25 percent, a quarter-point increase in the target range.
It once again said "further gradual increases" would allow continued expansion of the economy while keeping inflation around the Fed''s two percent target. However, the closely scrutinized statement from the rate-setting Federal Open Market Committee removed a longstanding phrase which described the Fed''s rate stance as providing stimulus to the economy.