The Federal Reserve held rates steady for the second consecutive meeting, with three officials pushing for a 25-basis-point hike.
The Federal Reserve maintained its federal funds rate target range at 3.50%–3.75%, marking the second consecutive meeting without a hike. The decision was backed by a 9–3 vote, with dissenters favoring a 25-basis-point increase to combat persistent inflation.
Economic activity was described as expanding at a solid pace, though inflation remains above the Fed’s 2% target. The last rate hike occurred in July, bringing the range to its current level after a series of aggressive increases in 2022 and early 2023.
Dissenting votes came from Beth Hammack, Neel Kashkari, and Lorie Logan, signaling ongoing division within the committee over the path forward for monetary policy.