Business · Economy · 1 hr ago
US Federal Reserve holds interest rates at 3.75% to 4%
The US Federal Reserve kept its key interest rate at 3.75% to 4% on 28 October, days before the 3 November congressional elections.
Two of the 12 committee members wanted a rate increase: Lisa Cook and Beth Hammack voted to raise it to 4% to 4.25%.
The Fed said inflation remains high, but it wants more economic information before deciding whether to change rates again.
The bank had raised rates in September to address persistent inflation, and members had signalled another increase might come this year.
The Fed's next meeting is scheduled for 8–9 December, by which time more economic data will be available.
Fed chair Kevin Warsh also said some meetings in 2027 and 2028 will have no rate decision, as the bank reviews its overall policy strategy.
The Federal Reserve kept its benchmark interest rate at 3.75% to 4% on Oct. 28.
The decision was not unanimous, with two committee members voting for an increase.
The Fed said inflation remained elevated and that it wanted more information before deciding on its next steps.
Chairman Kevin Warsh said tighter credit conditions suggested the Fed’s policies were starting to have an effect.
The Fed’s next meeting is scheduled for Dec. 8-9.
- Who
- The US Federal Reserve, led by Chairman Kevin Warsh, kept rates unchanged. Two committee members voted for an increase.
- What
- The Fed held its benchmark interest rate at 3.75% to 4%.
- When
- Oct. 28, 2026.
- Where
- United States.
- Why
- The Fed said inflation remained elevated and it wanted to gather more information before making another decision on rates.
Fed committee majority
Lisa Cook and Beth Hammack
Rate decision
Fed committee majority
Ten of the 12 committee members voted to keep rates unchanged.
Lisa Cook and Beth Hammack
Cook and Hammack voted to raise rates to 4%-4.25%.
The Fed raised its benchmark rate by a quarter-point, its first increase in three years.
The Fed held rates at 3.75% to 4%, with two members voting for an increase.
The Fed is scheduled to hold its next meeting.
Warsh said one Fed meeting would focus on monetary policy strategy without a rate vote or policy statement.
- Benchmark rate
- 3.75% to 4%
- Votes to hold rates
- 10 of 12 committee members
- Votes for a rate increase
- Lisa Cook and Beth Hammack
- Proposed rate range
- 4%-4.25%
- Next Fed meeting
- Dec. 8-9, 2026
6 sources
Fed holds fire as Warsh telegraphs more hikes without saying it
Federal Reserve keeps rates unchanged despite elevated inflation
Fed's Kevin Warsh says US economy not running too hot from AI boom
US central bank holds interest rates steady ahead of midterm elections – here's what that means
Warsh macht überraschende Ansage: Fed tastet Leitzins trotz Uneinigkeit nicht an
Fed faizi sabit tuttu: İki üyeden artış itirazı
What people are saying
we'll be, I think, better positioned to determine the right policy decision and the stance of policy.
Politics played no role in the decision.
I just spent two days with my colleagues upstairs. I didn't hear an utterance about politics.
Don't mistake a pause for a truce; the battle against inflation is far from over,