The Globe and Mail reports in its Thursday edition that the U.S. Federal Reserve increased its benchmark interest rate by a quarter percentage point on Wednesday and signalled that more rate hikes are still in the cards. The Globe's Mark Rendell writes that the announcement lifted the federal funds rate to a range of 4.5 per cent to 4.75 per cent. The quarter-point move is the smallest increase since the Fed began boosting borrowing costs last spring in an effort to curb surging prices. The U.S. economy has begun to slow and inflation is showing signs of easing. Fed chairman Jerome Powell said on Wednesday that "the disinflationary process has started," although he warned that it would be "very premature to declare victory." He said he needs "substantially more evidence to be confident that inflation is on a sustained downward path." The Globe notes financial markets were buoyed by Mr. Powell's optimistic comments. Desjardins economist Francis Genereux said, "While previous statements said the Fed would have to determine the pace of future rate rises, today's statement indicated it will now have to determine their extent." He added, "Rate hikes aren't over, but it may be the beginning of the end."