Fed Holds Rates at 3.75% to 4.00% and Cuts 2027 Rate Meetings to Seven

The Federal Reserve kept its benchmark rate at 3.75% to 4.00% on Wednesday. Chair Kevin Warsh said the Fed will hold one strategy-only meeting without a rate vote in 2027, leaving seven of eight meetings with rate decisions, and expects six of eight to set rates in 2028. The vote was 10-2, with Governor Lisa Cook and one other official favoring an increase.