FOMC maintains rates for first meeting of 2026

The Federal Open Market Committee’s first meeting of the year decided to keep the target range for the federal funds rate at 3.5% to 3.75%.

The FOMC’s statement reads:

“Available indicators suggest that economic activity has been expanding at a solid pace. Job gains have remained low, and the unemployment rate has shown some signs of stabilization. Inflation remains somewhat elevated.”

Fed Governors Stephen Miran and Christopher J. Waller opposed the action, advocating a 25 basis-point reduction in the target range.