Policy makers have signaled plans to dial back the pace of interest-rate increases, while warning rates could rise to somewhat higher-than-anticipated levels next year

In 2021, officials thought that high inflation would be temporary. But a year later, it was still near a four-decade high. WSJ’s Jon Hilsenrath explains three factors that have kept inflation up for longer than expected. Illustration: Jacob Reynolds

Updated Nov. 23, 2022 2:30 pm ET

WASHINGTON—Most Federal Reserve officials thought they should slow the pace of interest-rate increases after approving a fourth consecutive 0.75-percentage-point rate rise at their meeting earlier this month.

Officials approved the latest super-sized rate increase at their Nov. 1-2 meeting, bringing their benchmark rate to a range between 3.75% and 4%. They are boosting interest rates at the fastest pace since the early 1980s to reduce inflation that is running near a 40-year high.

Resume Subscription

We are delighted that you'd like to resume your subscription.

You will be charged $ + tax (if applicable) for The Wall Street Journal. You may change your billing preferences at any time in the Customer Center or call Customer Service. You will be notified in advance of any changes in rate or terms. You may cancel your subscription at anytime by calling Customer Service.

Please click confirm to resume now.