The Federal Open Market Committee (FOMC) announced a 25 basis-point increase in the target federal funds rate today at the conclusion of their December meeting. Today’s increase brings the target federal funds rate to between 0.50% and 0.75%. The rate increase was essentially a market-neutral event and we expect the synchronized global economic upturn to continue. There was a small surprise with a slight increase in the median estimate of future federal funds rate. Watch as Bob Baur, chief global economist, recaps the meeting announcement in our latest video.