The Fed announced a 0.25% rate increase on Wednesday, bringing the federal funds rate to a range of 4.50% to 4.75%.  The move marks the eighth straight Fed rate increase within the last 12 months and second step down in the percentage of the increase. The central bank announced a 0.50% rate increase in December following four 0.75% hikes. During a press conference on Wednesday, Fed Chairman Jerome Powell said the disinflationary process has started, but the job is not fully done. Powell signaled more interest rate hikes in the future, though at a slower pace, to observe their effects on the economy. Powell said Fed officials have not seen disinflation in core sectors of the economy, particularly in Housing Services. Powell added that the central bank has no desire to over-tighten but aims to bring inflation back down to its 2% target following months of 40-year-high inflation numbers. U.S. stocks rose following news of the interest rate hike. The Dow rose 0.02% to 34,092.96, the S&P 500 gained 1.05%, and the tech-heavy Nasdaq rose 2%.