Federal Reserve raises rates by a quarter of a percentage point

(NEW YORK) — The Federal Reserve raised interest rates by a quarter percent on Wednesday, marking the first interest rate hike since 2018.

The move is intended to help curb rising inflation, and it’s anticipated that the fed will do this another six times this year.

“Meaning that, by the end of the year, interest rates could be around 2%, if they stay the course,” says ABC News’ Rebecca Jarvis.

So what does this interest rate hike mean for you?

“The most immediate impact on you is the cost of borrowing,” says Jarvis. “The ability to borrow money gets more expensive — everything from new mortgages, to car loans, to credit card debt. If you look at the average 30-year fixed rate mortgage this morning, it’s already reflecting all of this, at four-and-a-half percent.”