A ceremonial gavel striking a polished interest rate dial mounted on a marble central bank desk, with the needle jumping upward past a red target line, close-up shot from a low angle, cold blue key light from above mixed with a faint amber glow from the right, deep shadows and shallow depth of field.

Fed Hikes for First Time Since 2023, Defying Trump

By Oliver BennsSeptember 17, 2026

The Federal Reserve raised interest rates by a quarter point in a unanimous vote, its first hike since 2023, and signalled another increase is likely this year. The move defies months of pressure from President Trump and comes with inflation running above the Fed's 2% target for five and a half years. The 10-year Treasury yield climbed back above 5%, hitting a 52-week high, while stocks fell and bank shares had their worst day since February.

EU Courts Canada as First Associate Member

European Commission President Ursula von der Leyen invited Canada to become the EU's first associate member, proposing integration of supply chains, data centres, and energy flows. The tie-up would knit together a combined $25.5tn economy, larger than China's. Both sides have been targets of Trump tariffs and territorial threats, pushing them toward a joint economic bloc.

China Tightens Grip on AI Ahead of Xi US Visit

China's Ministry of State Security called for expanded state control over artificial intelligence, citing domestic stability, cyber defence, and military parity with the US. The statement lands a week and a half before Xi Jinping's first US trip in nearly three years, with AI set to dominate talks. Beijing has already built a stricter AI regulatory regime than Washington while backing open-weight developers such as DeepSeek and Moonshot.