Big US banks’ prime rate soars to highest since 2008

Three major US banks are raising their prime lending rates to the highest levels since the global financial crisis of 2008, following Fed’s interest rate hike.

JPMorgan Chase & Co (JPM.N), Citigroup Inc and Wells Fargo & Co (WFC.N) said the new rates, including the latest 75 basis point hike, would take effect on Thursday.

Lending rates rose to highest since global financial crisis after Fed rate hike on Wednesday Lending rates rose to highest since global financial crisis after Fed rate hike on Wednesday. The US central bank has remained steadfast in its decision to keep raising rates until data shows a sustained pullback in consumer prices.

Fed Chair Jerome Powell said US central bank policymakers are strongly resolved to bring down inflation from the highest levels in four decades and will keep at it until the job is done,” a process he repeated would not come without pain.