What does the Federal Reserve's actions on interest rates mean?

Thursday, March 17, 2022
CHICAGO (WLS) -- For the first time in three years, the Federal Reserve announced an interest rate hike, and Thursday we learned mortgage rates just rose above 4% for the first time since 2019.

All of this is happening as we're dealing with high inflation and gas prices.

RELATED: Federal Reserve raises key rate by quarter-point from near 0 in effort to tame inflation
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Steven Esposito with Morgan Stanley joined ABC7 to give us more insight into what this means.

Esposito said it doesn't mean all that much but does signal a direction change.

RELATED: 4 steps to take before Fed raises interest rates
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He said for those saving, interest saving should go up but for those borrowing, your costs are going to go up.

For more, watch the interview above.
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