Fed Raises Interest Rate a Quarter Point

WASHINGTON June 30, 2004 — The Federal Reserve on Wednesday raised interest rates for the first time in four years, reversing course as the economy strengthened. Policy-makers signaled only slow increases ahead in the rock-bottom rates Americans have enjoyed.
Wall Street rallied modestly on the Fed's continued promise of a "measured" pace for future rate increases as the Dow Jones industrial average climbed 22.05 points to 10,435.48. The muted reaction underscored the lack of surprise in what was the most telegraphed rate increase in Fed history