The inflation rate in the United States declined significantly between June 2022 and May 2025, despite rising inflationary pressures towards the end of 2024. The peak inflation rate was recorded in June 2022, at *** percent. In August 2023, the Federal Reserve's interest rate hit its highest level during the observed period, at **** percent, and remained unchanged until September 2024, when the Federal Reserve implemented its first rate cut since September 2021. By January 2025, the rate dropped to **** percent, signalling a shift in monetary policy. What is the Federal Reserve interest rate? The Federal Reserve interest rate, or the federal funds rate, is the rate at which banks and credit unions lend to and borrow from each other. It is one of the Federal Reserve's key tools for maintaining strong employment rates, stable prices, and reasonable interest rates. The rate is determined by the Federal Reserve and adjusted eight times a year, though it can be changed through emergency meetings during times of crisis. The Fed doesn't directly control the interest rate but sets a target rate. It then uses open market operations to influence rates toward this target. Ways of measuring inflation Inflation is typically measured using several methods, with the most common being the Consumer Price Index (CPI). The CPI tracks the price of a fixed basket of goods and services over time, providing a measure of the price changes consumers face. At the end of 2023, the CPI in the United States was ****** percent, up from ****** a year earlier. A more business-focused measure is the producer price index (PPI), which represents the costs of firms.

The benchmark interest rate in the United States was last recorded at 4.50 percent. This dataset provides the latest reported value for - United States Fed Funds Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

The benchmark interest rate in Mexico was last recorded at 8 percent. This dataset provides - Mexico Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

The benchmark interest rate in Russia was last recorded at 18 percent. This dataset provides the latest reported value for - Russia Interest Rate - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

The industry has a strong run of year-over-year growth through the end of 2024 up until the onset of the pandemic. Normally, a financially distressed Agricultural sector would cause industry revenue to climb, but the Federal Reserve dropped interest rates to near-zero in response to the pandemic and the staggering amount of fiscal aid provided to farmers via the United States Department of Agriculture Emergency Food Purchasing Plan and the Paycheck Protection Plan had greatly reduced farmers' demand for agricultural loans. This simultaneously caused revenue to decline in 2020. Following the pandemic, the Fed raised interest rates in 2022 to tackle rampant inflation which increased borrowing costs for farmers and reduced loan volumes for the industry. In 2024, as inflationary pressures eased, the Fed slashed interest rates, which will likely boost loan volumes but reduce interest income on each loan. Overall, industry revenue shrank at a CAGR of 1.4% to $20.4 billion over the past five years, including an expected decrease of 0.9% in 2024 alone. Because of such strong increases in governmental aid as a share of total farm income, net farm income has risen strongly in the past 18 months, which has reduced the sector's reliance on bank loans, with the industry exhibiting a revenue slide in 2020 as a result of a surprising fiscal stability agricultural sector, barring difficulties in the live-cattle segments because of strong increases in government transfer payments. Moreover, industry profitability has climbed due to the high interest rate environment in the latter part of the period which increased interest income on each loan. However, the high interest rate environment hindered loan volumes for the industry. The industry is expected to continue sliding through the end of 2029 as the farm economy is expected to exhibit declines. With declining agricultural prices and returns to farmers, it's expected that the sector will need to increasingly rely on this industry. Also, the anticipation of further rate cuts as inflationary pressures ease will reduce borrowing costs which will enable farmers to increase their loan demand. However, the industry is anticipated to decline at a CAGR of 0.9% to $19.5 billion over the five years to 2029.