# (2nd LD) U.S. Fed raises key rate by 25 basis points to highest level since 2001 | Yonhap News Agency

> The US Federal Reserve raised its key rate by 25 basis points to 5.25-5.5%, the highest since 2001. The Korea-US rate gap reached an all-time high of 1.75-2.0 percentage points.

- Date: 2023-07-27 · published 2023-07-27T12:00:00.000Z
- Category: macro · region US · magnitude medium
- Page: https://feedsoft.ai/events/35281-2nd-ld-u-s-fed-raises-key-rate-by-25-basis-points-to-highest-level-since-2001
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md), [Korean Won (KRW per USD)](https://feedsoft.ai/c/USDKRW.md)

## Why it matters

Higher US rates strengthen the dollar and raise the risk of Asian capital outflows, pressuring emerging-market currencies and raising import costs for Korean feed buyers.

## Read by commodity

- DXY: bullish ▲
- USDKRW: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2023-01-01 | [Fed raises interest rates half a point to highest level in 15 years](https://feedsoft.ai/events/38155-fed-raises-interest-rates-half-a-point-to-highest-level-in-15-years.md) | -1.0% | -2.0% |
| DXY | 2017-06-14 | [Fed raises key rate and unveils plan to reduce bond holdings \| AP News](https://feedsoft.ai/events/70401-fed-raises-key-rate-and-unveils-plan-to-reduce-bond-holdings-ap-news.md) | +0.6% | -0.9% |
| DXY | 2018-06-13 | [Fed raises key rate and sees possible acceleration in hikes \| AP News](https://feedsoft.ai/events/64439-fed-raises-key-rate-and-sees-possible-acceleration-in-hikes-ap-news.md) | +1.3% | +0.6% |
| DXY | 2022-07-27 | [FOMC: Fed Raises Interest Rates by 75 Basis Points to Double Down on Inflation - Bloomberg](https://feedsoft.ai/events/40388-fomc-fed-raises-interest-rates-by-75-basis-points-to-double-down-on-inflation.md) | -0.7% | +0.2% |
| DXY | 2022-06-07 | [Australia's central bank raises rates by 50 basis points](https://feedsoft.ai/events/41206-australia-s-central-bank-raises-rates-by-50-basis-points.md) | +2.4% | +4.0% |

## Sources

- en.yna.co.kr: https://en.yna.co.kr/view/AEN20230727000253325

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.