Interest Rates Just Went Up. Here’s Why Consumer Tech Might Cost Even More
The Federal Reserve on Wednesday raised interest rates for the first time since 2023. For the average US household, that means the cost of borrowing money — whether through a loan, a mortgage or a credit card — is about to become more expensive. But that’s just the first layer of the onion: The cost of everything, from rent and groceries to household devices and electronics, has already been climbing steadily over the last 18 months.
The Fed’s policy move is intended to cool inflation: One of the central bank’s primary objectives is to promote price stability and keep inflation growth at 2% year over year.
But even after the Fed carried out a series of aggressive interest rate hikes between 2022 and 2023 to control record-high inflationafter the COVID pandemic, prices didn’t return to normal. Inflation is the speed at which prices are rising, not the actual sticker...
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