Federal Reserve raises interest rates for the first time in more than three years, lifting the target range to 3.75% to 4%

A unanimous committee moved rates up a quarter point and said inflation is still running above its target.

The Federal Open Market Committee raised the target range for the federal funds rate by a quarter percentage point to 3-3/4 to 4 percent, its first increase in more than three years. The vote was unanimous, 12 to 0. In its statement the committee said inflation remains elevated, that job gains have kept pace with the workforce, and that the unemployment rate has changed little, adding that the action will support a timelier return to its 2 percent goal. Stocks slipped after the decision: the Dow closed down 1.21 percent, the S&P 500 down 0.45 percent, and the Nasdaq Composite essentially flat, off 0.01 percent.