Fed Leaves Rates Unchanged, Projects One Cut in 2026

The Federal Reserve left the policy rate unchanged at 3.5%–3.75% in an 11-1 vote. The Fed says it still expects one rate cut in 2026, signaling eventual easing while maintaining current policy for now. Markets should remain sensitive to incoming inflation and economic data given the Fed's forward guidance toward a future cut.

Analysis

The Federal Reserve left the policy rate unchanged at 3.5%–3.75% in an 11-1 vote. The Fed says it still expects one rate cut in 2026, signaling eventual easing while maintaining current policy for now. Markets should remain sensitive to incoming inflation and economic data given the Fed's forward guidance toward a future cut.