Fed Holds Rates Near 3.75% as CPI Stays at 2.6% and PPI at 3%, Setting a Cautious Path Through 2026

New readings show inflation still above the Fed’s 2% goal, with November wholesale prices up 3% and December core CPI at 2.6%. Policymakers are assessing implications for 2026, and rates are widely expected to remain at 3.5%–3.75% later this month amid differing views on how quickly to cut without exacerbating pressures on lower‑income households.