US interest rates raised for first time in three years

To play this video you need to enable JavaScript in your browser. US interest rates have been raised for the first time in more than three years and could be increased further in a bid to slow rising prices. Fed Chair Kevin Warsh said the move was because inflation is too high and has been for too long, adding that it was a sober and responsible decision. However, Trump said rates should be 1%, or less, because we are the Best Credit in the World - BY FAR. Higher interest rates make borrowing more expensive for people wanting to secure loans, mortgages, and credit cards, but can lead to better returns on savings.