Date:12/05/2006 URL: http://www.thehindu.com/2006/05/12/stories/2006051206431703.htm

Business - Briefly

Fed raises rates further

The Federal Reserve raised the short-term interest rates again on Wednesday, its 16th increase in two years, and gave itself room to raise them again in June. As expected, the central bank nudged up the Federal funds rate on overnight loans between banks another quarter-point, to 5 per cent.