Trump calls interest rates "artificially high," says they should be "1% or less"

On September 16, 2023, the Federal Reserve is poised to raise its benchmark interest rate by 25 basis points to a range between 3.75% and 4.00%, according to the CME Group's FedWatch tool, which predicts this with nearly a 90% likelihood. This move comes amid surging inflation pressures, including crude oil prices that surpassed $100 per barrel for the first time since July due to Middle East conflicts. Despite pressure from President Donald Trump, who demands lower interest rates, financial markets expect Chair Kevin Warsh and his board to hike rates in response to stubbornly high core inflation figures. The decision could affect borrowing costs significantly, pushing them out of reach for homebuyers and those seeking refinancing options but offering better returns for savers if they shift their funds from traditional savings accounts with average interest rates under 0.40% to high-yield savings accounts that can adapt to rising rates more flexibly.