US Federal Reserve raises interest rates for second time since 2008 crisis

Fed chairwoman Janet Yellen announced a 0.25% increase in the benchmark rate to 0.50-0.75%, and predicted three further rates increase in 2017

The US Federal Reserve on Wednesday raised interest rates for the first time in a year, and only the second time since the 2008 financial crisis. The US central bank also predicted three further rates increase in 2017, up from previous expectations of two rate hikes.

Janet Yellen, the Fed chairwoman, said "growth is a touch stronger, unemployment is a shade lower" as she announced a 0.25% increase in the benchmark rate to 0.50-0.75%.