The Fed holds at 3.75–4.00%: a 10–2 vote, two dissents for a hike, and fewer rate-setting meetings from 2027
12–0 for a hike in September, 10–2 for a hold now. What the Fed rewrote in its statement, what a strategy meeting is, and what markets priced afterwards – with sources, without forecasts.
On Wednesday 28 October 2026, the rate-setting body of the US Federal Reserve (Fed), the Federal Open Market Committee (FOMC), left its policy rate range unchanged at 3.75–4.00%. According to Yahoo Finance's live coverage and Fox Business, the vote was 10–2. This article summarises what changed in the statement, what Chair Kevin Warsh said and what the concepts mean. It does not predict the next decision.
| Fact sheet | |
|---|---|
| Decision | 28 October 2026, range unchanged at 3.75–4.00% |
| Vote | 10–2 (12–0 for a hike in September) |
| Dissenters | Lisa Cook and Beth Hammack, both favouring a 0.25-point hike |
| Chair | Kevin Warsh, his fourth meeting as chair |
| Meeting schedule | 2027: 7 rate-setting + 1 strategy meeting; 2028: 6 + 2 |
| Next meeting | 9 December |
| Central European time | the decision came at 2 p.m. US Eastern, 7 p.m. in Budapest (this article's conversion) |
Sources: Yahoo Finance, 28 Oct, Fox Business, 28 Oct.
The decision and the dissents
According to Fox Business, the Fed raised rates by 0.25 points in September, its first increase since July 2023; with inflation still elevated, it now waits for more data. According to Yahoo Finance, two members voted differently: Governor Lisa Cook and Beth Hammack, president of the Cleveland Fed. Both favoured another quarter-point hike.
A dissent means a voting member does not support the majority decision. The Fed's statement names who voted differently and what action they preferred.
What the Fed rewrote in its statement
Markets compare each statement word by word with the previous one. According to Yahoo Finance, the main changes were:
| Before (September) | Now (October) |
|---|---|
| "raise" the range | "maintain" the range |
| growth is "solid" | growth is "strong" |
| the action supports inflation's return to 2% | "the accumulation of more information will help" set policy |
The last row means the committee does not commit to a direction in advance: it decides data point by data point.
What Kevin Warsh said
At the press conference, according to Yahoo Finance, Warsh said politics "played no role" in the decision; the midterm elections are six days after the meeting. On the economy, he said activity is expanding "at a strong pace". Of the hikes so far, he said the "monetary medicine" is starting to work, but drew no firm conclusions.
Fewer rate-setting meetings from 2027
According to the announcement, the Fed will still meet eight times a year, but in 2027 one meeting will be a strategy meeting, with no rate vote and no policy statement. That leaves seven rate decisions in 2027. In 2028 there will be six rate-setting meetings and two strategy meetings.
A strategy meeting deals with the central bank's framework: for example how it communicates, which tools it uses and how it reviews its own work.
How markets reacted
According to Yahoo Finance, the 10-year US Treasury yield rose 5 basis points to 5.04% before the press conference and the 30-year to 5.33%. The S&P 500 held a small gain, and the dollar slipped against the euro during the press conference. Bloomberg data cited by the outlet showed futures pricing about an 85% chance of a quarter-point hike at the December meeting. That is market pricing at a given moment, not a forecast.
A basis point is one hundredth of a percentage point: 5 basis points = 0.05 points.
5 things many people don't know
- September's hike was unanimous. The vote then was 12–0.
- The dissenters wanted a hike, not a cut. Cook and Hammack both favoured a quarter-point increase.
- The number of meetings stays; the number of decisions falls. In 2027, seven of eight meetings set rates.
- A single changed word is news. "Solid" growth became "strong" in the statement.
- September's hike was the first since 2023. According to Fox Business, the Fed had not raised since July 2023.
Summary
- Range: 3.75–4.00%, unchanged.
- Vote: 10–2; Cook and Hammack favoured a hike.
- Statement: "strong" growth, data-dependent wording.
- Schedule: seven rate decisions a year from 2027, six from 2028.
- Next meeting: 9 December.
Related reading: US inflation at 3.7%: what's in the basket · Blog archive.
Educational content. Not investment advice and not a rate or price forecast. This article is based on public press sources. Data Analytic Investments is not affiliated with the Federal Reserve or the portals cited. Images labelled "AI illustration" are not photographs.
Continue on DAI
Explore Topics
Written by
Data Analytic Investments
Content creator and writer sharing insights and stories.
