The Fed is trying to influence an economic slowdown and bring the inflation under its control.
However, it will try to avoid a protracted recessionas stated by atlanta fed president raphael bostic.
"We are going to do all we can to prevent deep,deep pain of federal reserve", stated boston.
The fed hiked its benchmark interest rate by 0.75 percent points.
Economists worry that going quick might break the economy.
However, Fed officials believe that economy can slow and still avoid recession.
Bostic stated that there will be few job losses. However, they will be much lesser in number than the previous records.
The Atlanta Fed president told that some of the bottlenecks that have created higher prices are starting to ease.
The market is tensed that the Fed is looking at higher economy through rose coloured glasses.
Stocks suffered a huge selloff on Friday on increased fears of a recession.