clean up the aviation industry? we get airborne to find out. we start in the us where the central bank has raised the cost of borrowing to its highest level in m years as it tries to rein in soaring prices. the federal reserve hiked its benchmark rate by three quarters of a percentage point to a range of between 3% and 3.75%. the feds chair, jerome powell, warned there were more rises to come, but said there is no painless way to get inflation under control. households and businesses here in the uk are also braced for more expensive borrowing with the bank of england widely expected to announce a hefty rate rise in the next few hours. more on that in a moment. first, let s hearfrom our us business correspondent michelle fleury in new york. the message from the federal reserve unmistakable, we are here to fight inflation, this is the first time us central bank has raised interest rates and smudged in response to prices rising at the fastest pace for four decades, prices r
in some ways for you surprised to see the sell off on wall street, saying is, sell on the river and buy on the news. sell on the room and by on the news. ~ ., news. we have said when we get a rate hike news. we have said when we get a rate hike from news. we have said when we get a rate hike from a news. we have said when we get a rate hike from a major- a rate hike from a major central bank have seen markets rally, there was quite a bit of positive sentiment that the markets in the yesterday session ahead of that decision, what we can take from market reaction as there was a lot of volatility, we saw the volatility, we saw the volatility index sometimes known as the wall street fear gauge rallying by 3% and equity swinging between gains and losses and they ultimately closed considerably lower, it was technology heavy interest rate sensitive nasdaq at the hardest, down by i.8%. there is a tug of war going on, because on the one hand, we know interest rate increases are require