28.01.2026 22:11
The Federal Reserve kept the policy interest rate unchanged at 3.50-3.75 percent, in line with expectations.
The Federal Reserve kept the interest rate steady at 3.50-3.75 percent.
FED KEPT THE INTEREST RATE STEADY
The Federal Reserve (FED) announced the interest rate decision that global markets were eagerly awaiting. The FED maintained the interest rate at 3.50-3.75 percent, in line with expectations. In the statement from the Fed, it was noted that the decision made at the first meeting of the year was taken with 10 votes against 2.
"UNEMPLOYMENT RATES SHOW SIGNS OF STABILITY"
The statement indicated that Fed Board Members Stephen Miran and Christopher Waller voted against the decision as they were in favor of a 25 basis point rate cut. It was stated that the current indicators suggest that economic activity continues to expand at a "solid pace," while employment growth remains at low levels, and the unemployment rate shows some signs of stability.
"INFLATION CONTINUES TO REMAIN HIGH"
The statement mentioned that inflation continues to remain somewhat high. It emphasized that the Federal Open Market Committee (FOMC) aims to achieve maximum employment and a 2 percent inflation target, while expressing that uncertainty regarding the economic outlook remains high.
The statement reported that it was decided to keep the target range for the federal funds rate at 3.5-3.75 percent to support the bank's objectives.
INTEREST RATE KEPT STEADY AFTER THREE CONSECUTIVE CUTS
Last year, the Fed kept the policy interest rate steady during the first five meetings, while it had made a total of 75 basis points in cuts in September, October, and December. Thus, after making three consecutive interest rate cuts last year, the Fed kept the policy interest rate steady at the first meeting of this year.