The U.S. Federal Reserve has raised its base interest rate for the tenth time in just over a year, despite concerns over a recent bank failure and the ongoing federal debt ceiling dispute. The increase of 25 basis points brings the target range for the federal funds rate to between 5% and 5.25%, marking the highest rate since 2007. The rate hike is expected to hit the commercial real estate industry, which has struggled since the Fed began increasing rates last year. The Federal Open Market Committee’s statement indicated a willingness to pause the increases if the economic data warrants it.
