economy

April 29, 2026

Fed holds rates steady but with highest level of dissent since 1992

The Federal Reserve on Wednesday released its latest decision on interest rates.

Fed holds rates steady but with highest level of dissent since 1992

TL;DR

  • The Federal Reserve kept its key interest rate unchanged at 3.5%-3.75%.
  • This decision was met with an 8-4 dissent, the highest since October 1992, with members disagreeing on the committee's forward guidance.
  • Inflation remains elevated above the Fed's 2% target, influenced by global energy prices and trade policies.
  • Labor market conditions have improved, with better-than-expected job growth and a declining unemployment rate.
  • Jerome Powell signaled he will stay on the Board of Governors until an investigation into Federal Reserve renovations is resolved.
  • Kevin Warsh's nomination for the next Fed chair advanced in the Senate, signaling the first leadership change since 2018.
  • Powell's decision to remain as a governor preserves Fed independence and limits President Trump's ability to appoint additional members to the board.

Continue reading the original article