Fed holds key interest rate steady as economic view improves
Source: CNBC
Published Wed, Jan 28 2026 2:00 PM EST Updated 3 Min Ago
The Federal Reserve on Wednesday voted to take a break from a recent run of interest rate cuts, as the central bank navigates questions about its independence and awaits a new leader.
Meeting market expectations, the central banks Federal Open Market Committee voted to keep its key interest rate in a range between 3.5%-3.75%. The decision put a halt to three consecutive quarter percentage point reductions, billed as maintenance moves to guard against potential downturns in the labor market.
In voting to hold the line, the committee also upped its assessment of economic growth. It also eased its concerns about the labor market as compared to inflation.
Available indicators suggest that economic activity has been expanding at a solid pace. Job gains have remained low, and the unemployment rate has shown some signs of stabilization, the post-meeting statement said. Inflation remains somewhat elevated.
Read more: https://www.cnbc.com/2026/01/28/fed-rate-decision-january-2026.html
Watching for this -

gab13by13
(31,507 posts)to make the economy look good. What Krasnov really wants to do is crash the dollar and the best way to crash the dollar is to lower interest rates to zero.
Bwahaha. Maybe the Fed will raise interest rates after Krasnov puts out the next economic report. GDP at 4.4% is a freaking joke.
Ray Bruns
(6,063 posts)Let the ketchup throwing commence.
BumRushDaShow
(166,719 posts)mdbl
(8,197 posts)and all of us with it.
twodogsbarking
(17,783 posts)BumRushDaShow
(166,719 posts)So once that happens, he'll be able to ketchup even faster!!
CountAllVotes
(22,129 posts)It seems a friend of the Fed is a friend of mine!
Sally forth Chairman Powell!

Dump calling Chairman Powell out for being a Deadhead ...
LetMyPeopleVote
(176,168 posts)The central bank opted for its first pause after three rate cuts last year, as officials wait for clearer signs that inflation is cooling.
Fed holds rates steady, signaling patience despite Trump pressure www.washingtonpost.com/business/202...
— (@therreport.bsky.social) 2026-01-28T19:06:25.277Z
https://www.washingtonpost.com/business/2026/01/28/fed-pauses-rate-cuts/
The widely expected decision comes after the central bank cut rates three times at the end of 2025, moves that officials and economists say were aimed at insulating the labor market as hiring slowed. With job growth still decelerating but the economy showing few signs of distress, policymakers now say they can afford to be patient as they watch whether inflation continues to cool.
Fed governor Christopher Waller, who is under consideration to replace Jerome H. Powell as Fed chair, dissented from the decision, preferring to lower rates again. He was joined by Stephen Miran, a Trump economic adviser on leave from the White House who is also on the Fed board.....
The Federal Reserve kept interest rates unchanged Wednesday, hitting the pause button at its first meeting this year despite pressure from President Donald Trump to slash rates further.
The widely expected decision comes after the central bank cut rates three times at the end of 2025, moves that officials and economists say were aimed at insulating the labor market as hiring slowed. With job growth still decelerating but the economy showing few signs of distress, policymakers now say they can afford to be patient as they watch whether inflation continues to cool....
A separate high-profile dispute involving the presidents attempted firing of Fed governor Lisa Cook has added to the political pressure against the Fed, though the case has played to the Feds advantage, at least so far. During Supreme Court arguments last week, nearly all of the justices signaled skepticism that Trump could remove Cook while her legal challenge proceeds, suggesting that the Fed governor is likely to remain on the board for now a development that would limit the presidents leverage over the central bank in the near term.
Miguelito Loveless
(5,504 posts)Oh right, the numbers are cooked.