Fed raises interest rates

The Federal Reserve hiked interest rates by three-quarters of a percentage point on Wednesday, as expected, in the latest push to tame inflation, stabilize the economy and ease the pressure on families and businesses nationwide.

The rate increase is the fourth hike this year and matched a similarly aggressive move last month.

Inflation has continued to climb, with Russia’s invasion of Ukraine adding pressure to prices and global economic activity, according to a statement released with the Fed’s rate hike decision.

Still, there are signs that parts of the economy are slowing down as the Fed ramps up its policies.

“Recent indicators of spending and production have softened,” the statement read. “Nonetheless, job gains have been robust in recent months, and the unemployment rate has remained low.”

Interest rates are the Fed’s most important tool for combating inflation now at 40-year highs.

FTC sues to block Meta purchase

The Federal Trade Commission on Wednesday sued to block Facebook parent company Meta from buying the maker of popular virtual reality games, arguing the purchase would stifle competition in the burgeoning industry.

The deal would give Meta control of Within, the maker of the popular VR workout game “Supernatural.”

The lawsuit is emblematic of FTC Chair Lina Khan’s strategy to address deals in the fast-changing tech sector, following criticism that regulators have not been aggressive in limiting tech companies from building power by buying up their smaller rivals.

“That lessening of competition may result in reduced innovation, quality, and choice, less pressure to compete for the most talented app developers, and potentially higher prices for VR fitness apps,” the FTC argued in a legal complaint.

“And Meta would be one step closer to its ultimate goal of owning the entire ‘Metaverse.’ “

The complaint argues that Meta’s recent acquisitions have already allowed it to buy up “seven of the most successful VR development studios in the world.”

From wire reports