Grassley expects interest rate hike

Consumers appear to have confidence in the booming economy and inflation is under control — still, Iowa Senator Chuck Grassley says the Federal Reserve will likely boost interest rates again today. He says there’s no reason to increase interest rates.Grassley says higher interest rates effect most of us and will make it that much more difficult for Iowans to afford big ticket items. Predictions point to a half-point interest rate hike due to the tight labor market and other signs of growing inflationary pressures.Grassley says he shouldn’t be second-guessing Fed Chairman Alan Greenspan. The Fed announcement is expected to be made this afternoon.