Fed Cuts Rates With Three Dissents, Projects One Cut in 2026

Federal Reserve officials delivered a third consecutive interest-rate reduction and maintained their outlook for just one cut in 2026.

The Federal Open Market Committee voted 9-3 Wednesday to lower the benchmark federal funds rate by a quarter point to a range of 3.5%-3.75%. It also subtly altered the wording of its statement suggesting greater uncertainty about when it might cut rates again.

Speaking to reporters after the meeting, Chair Jerome Powell suggested the Fed had now done enough to bolster the economy against the threat to employment while leaving rates high enough to continue weighing on price pressures.

“This further ...