Fed Chairwoman Janet Yellen announced yesterday evening that the US interest rates would be raised from 0.5% to 0.75%. Bond prices have since fallen due to the inverse relationship between bond prices and interest rates. Although it was seen as almost a foregone conclusion, Yellen cited the recent growth in the US economy especially as it is beyond full employment and wage growth is continuing to rise. The Fed is almost at its desired 2% inflation and US economy’s momentum should carry it there. The Bank of England’s announcement is to follow today and will be sure to factor in the Fed’s decision.