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IPFS News Link • Federal Reserve

Fed set to RAISE interest rates next week despite banking crisis:


Shares of First Republic Bank tumbled more than 30% on Friday 

A $30B cash infusion by 11 major US banks failed to stem investor worries

On the other side of the Atlantic, shares of Credit Suisse also dropped 

The Federal Reserve appears likely to raise interest rates further next week despite banking crisis fears, as the central bank weighs its battle to tame inflation against rising stress in the financial sector.

Wall Street's main indexes capped a chaotic week on another down note Friday, with the Dow Jones Industrial Average dropping 384 points, or 1.19 percent, at the closing bell. 

It comes as a $30 billion rescue plan for troubled First Republic Bank failed to stem investor worries, with shares of the lender plunging another 33 percent on the day, extending their losses for the week to 72 percent.