Fed lifts rate by quarter-point and signals more hikes ahead

The Federal Reserve extended its fight against high inflation Wednesday by raising its key interest rate by a quarter-point, its eighth hike since March. And the Fed signaled that even though inflation is easing, it remains high enough to require further rate hikes.

At the same time, Chair Jerome Powell said at a news conference that the Fed recognizes that the pace of inflation has eased — a signal that it could be nearing the end of its rate hikes. The stock and bond markets rallied during his news conference,...