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Published: Oct 13, 2023 6 min read
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The Federal Reserve has two more opportunities to raise interest rates in 2023, but many experts think no more hikes are coming — an encouraging development for stock market investors and prospective homebuyers.

The Fed has increased interest rates 11 times since March 2022 to tame inflation. The rise in interest rates during this period has impacted the economy and people's finances in many ways: Mortgage rates have soared above 7%, hurting homebuyers and dampening the housing market in general, while stocks have been jittery, with the S&P 500 index down nearly 20% in 2022. On the other hand, the Fed's rate hikes have helped savers, boosting the APYs of some high-yield savings account rates to upwards of 5%.

The Federal Open Market Committee (FOMC) decided not to raise interest rates in September. At the time, though, most participants indicated that they expected one more rate hike before the end of the year.

This week, several Federal Reserve officials made comments indicating a more cautious tone on raising rates, making it look more likely that the Fed won't raise rates again this year. Lately, many analysts have been predicting the likelihood of a continued pause on rate hikes through the end of 2023.