US Federal Reserve attacks inflation with largest rate hike since 1994

Federal Reserve Chairman Jerome Powell (Jacquelyn Martin/AP)

The Federal Reserve has intensified its drive to tame high inflation by raising its key interest rate by three-quarters of a point — its largest hike in nearly three decades.

The move the Fed announced after its latest policy meeting will raise its benchmark short-term rate, which affects many consumer and business loans, to a range of 1.5% to 1.75%.