In a moment that tests the boundary between institutional independence and political will, the Federal Reserve raised its benchmark interest rate for the first time since 2023, nudging it to a range of 3.75% to 4.00%. The decision, unanimous among policymakers, arrives as inflation climbs to 3.4% on the back of an oil shock born from war in the Middle East — outpacing the wages of ordinary Americans. The Fed's move defies sustained pressure from President Trump, who had long sought lower rates, and may be only the first step in a longer campaign to bring prices back to earth.