FX.co ★ Fed Holds Rates Steady for Third Straight Meeting

The Fed left the federal funds rate unchanged at a target range of 3.5%–3.75% at its April 2026 meeting, marking a third consecutive hold and matching market expectations. The decision was not unanimous: Governor Miran voted for a 25 bps rate cut, while three other members opposed the wording in the policy statement that indicated the central bank expects to eventually resume lowering rates. The 8–4 split was the first time since October 1992 that four officials dissented on a Federal Open Market Committee decision. The Fed reiterated that it will closely monitor incoming data, the evolving economic outlook, and the balance of risks when determining the appropriate stance of monetary policy, and that it remains prepared to adjust policy if emerging risks threaten the attainment of its objectives. The statement also highlighted that developments in the Middle East are adding to uncertainty surrounding the economic outlook.