# Fed holds interest rates steady even as inflation remains stubborn

- URL: https://talkfuse.com/story/fed-holds-interest-rates-steady-even-as-inflation-remains-stubborn/
- Published: 2026-10-28T18:04:42+00:00
- Updated: 2026-11-04T00:43:53+00:00
- Original publisher: NPR (publisher lean: Left)
- Original article: https://www.npr.org/2026/10/28/nx-s1-6020425/federal-reserve-interest-rates-inflation
- Topics: Americas, Business, Economy, Elections, Government, Politics, World

## Key points

- The Fed kept its rate range at 3.75% to 4%.
- Two of 12 policymakers wanted a quarter-point rise.
- The Fed is awaiting more evidence as inflation remains above its 2% goal.

## Summary

The US Federal Reserve held its benchmark interest rate at 3.75% to 4% on 28 October 2026, a month after raising it by a quarter of a percentage point. The decision passed by 10 votes to two. Governor Lisa Cook and Cleveland Fed president Beth Hammack favoured another quarter-point increase. The Fed said inflation remained elevated and that it needed more information to judge how best to return it to its 2% target.

The pause came despite resilient spending, strong economic growth and little change in unemployment, according to the Fed. Chair Kevin Warsh said tighter credit conditions suggested monetary policy was beginning to have an effect, while giving little indication of the next decision. Higher rates can help restrain inflation by slowing borrowing and spending, but can also raise costs for households and businesses. The split vote leaves a further increase possible; it does not commit the Fed to one.

## Coverage

- [NPR: Fed holds interest rates steady even as inflation remains stubborn](https://www.npr.org/2026/10/28/nx-s1-6020425/federal-reserve-interest-rates-inflation)
- [Federal Reserve: Federal Reserve issues FOMC statement](https://www.federalreserve.gov/newsevents/pressreleases/monetary20261028a.htm)

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Summarised by TalkFuse (https://talkfuse.com/). Quote the original publisher for the reporting and link this page for the summary and discussion.