# Fed hikes rates and raises GDP forecast again

> The Federal Reserve raised its benchmark rate by a quarter point to a 1.5%-1.75% range at its March meeting, the first chaired by Jerome Powell. The committee also upgraded its economic outlook and signaled that additional hikes could come in the following years.

- Date: 2018-03-21 · published 2018-03-21T12:00:00.000Z
- Category: macro · region US · magnitude medium
- Page: https://feedsoft.ai/events/65902-fed-hikes-rates-and-raises-gdp-forecast-again
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md), [Soybeans](https://feedsoft.ai/c/SOY.md), [Corn](https://feedsoft.ai/c/CORN.md)

## Why it matters

Higher US rates strengthen the dollar and raise the opportunity cost of holding commodities, which tends to pressure dollar-denominated grain and oilseed prices, while a stronger economy supports feed demand.

## Read by commodity

- DXY: bullish ▲
- SOY: bearish ▼
- CORN: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2018-06-13 | [Gold erases gains after Fed hikes interest rates](https://feedsoft.ai/events/64440-gold-erases-gains-after-fed-hikes-interest-rates.md) | +1.3% | +0.6% |
| DXY | 2018-12-19 | [Gold falls as Fed raises rates, indicates further hikes for 2019](https://feedsoft.ai/events/61491-gold-falls-as-fed-raises-rates-indicates-further-hikes-for-2019.md) | -0.3% | -1.6% |
| DXY | 2018-04-11 | [Fed minutes: 'All' members see higher GDP and inflation, and more rate hikes](https://feedsoft.ai/events/65431-fed-minutes-all-members-see-higher-gdp-and-inflation-and-more-rate-hikes.md) | -0.3% | +3.4% |
| 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 | 2017-03-15 | [Fed raises rate and sees more hikes as US economy improves - Chicago Sun-Times](https://feedsoft.ai/events/71927-fed-raises-rate-and-sees-more-hikes-as-us-economy-improves-chicago-sun-times.md) | -1.5% | -1.3% |
| SOY | 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) | -6.8% | -13.0% |
| SOY | 2016-12-14 | [Fed surprises with three rate hikes next year — and could need more](https://feedsoft.ai/events/6464-fed-surprises-with-three-rate-hikes-next-year-and-could-need-more.md) | -2.2% | +0.4% |
| SOY | 2022-03-16 | [Fed finally moves against inflation with rate hike \| Reuters](https://feedsoft.ai/events/42200-fed-finally-moves-against-inflation-with-rate-hike-reuters.md) | +2.3% | +0.7% |

## Sources

- cnbc.com: https://www.cnbc.com/2018/03/21/fed-hikes-rates-by-a-quarter-point-at-chair-powells-first-meeting.html

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