It’s the largest rate hike by America’s central bank since 1994.

The Federal Reserve increased its key rate by 0.75% to a range of 1.50% to 1.75% in an effort to cool surging inflation.

Central bank officials also signal more large rate hikes are coming, which would also raise the risk of recession.

They believe that, on average, the benchmark rate would rise to 3.4% by the end of this year and to 3.8% next year.

Meanwhile, the Fed’s downgrading its economic outlook, with the economy now seen slowing this year, and unemployment rising to 3.7% by the end of 2022, and continuing to rise to 4.1% through 2024.