Updated

The U.S. Federal Reserve raised interest rates for the first time in three years, a unanimous decision made despite vocal opposition from President Donald Trump, who had publicly called for a rate cut and hand-picked the Fed chair. The 0.25 percentage point increase signals the central bank's continued independence from White House pressure even as Trump has repeatedly criticized the chair he appointed for not moving faster to cut rates. Analysts say the move reflects the Fed's assessment of ongoing inflation risks despite political pressure, and could have mixed effects on consumers, including higher borrowing costs for mortgages and credit cards but potentially better returns on savings. Economists are now watching how the increase filters through to everyday costs for American households and businesses in the coming months.