The Federal Open Market Committee on Wednesday kept the target range for the federal funds rate at 3.75% to 4%, according to a statement released by the Board of Governors of the Federal Reserve System.
The Committee said it made the decision in support of the Federal Reserve’s dual mandate. It is continuing its policy of maintaining ample reserves in the banking system, according to the statement released at 2 p.m. EDT.
Inflation remains elevated, the Committee said. It said the accumulation of more information will help it determine the policy stance appropriate to ensure a timely return of inflation to its 2% goal. The statement said, “The Committee will deliver price stability.”
The Committee approved the statement by a 10-2 vote. Lisa D. Cook and Beth M. Hammack voted against the monetary policy action. They preferred to raise the target range for the federal funds rate by one-quarter of a percentage point at this meeting, the Federal Reserve said.
Ten members voted to approve the statement, and two voted against the monetary policy action. The approved action maintains the target range rather than raising it. The statement did not say how long the target range will remain at 3.75% to 4%.
Economic activity is expanding at a strong pace, according to the Committee. “While uncertainty remains elevated owing, in part, to geopolitical developments, domestic spending has been resilient,” the statement said. Productivity growth is strong, and capital investment is robust.
Job gains have kept pace with the workforce, and the unemployment rate has changed little, the Committee said. The statement did not give the unemployment rate or a count of job gains, and it did not give a measure of inflation. It also did not name the geopolitical developments it cited.
The Federal Reserve issued an implementation note on Oct. 28, 2026, the same day as the statement. The release did not describe the note. The Committee did not say when it will next consider the target range.