The Federal Reserve kept its federal funds target range at 3.75%–4.00% after its two-day October meeting. The decision passed 10–2. Lisa D. Cook and Beth M. Hammack opposed the hold because they preferred a quarter-percentage-point increase, according to the official statement.
Meeting dates and publication date are different
The Fed calendar identifies the meeting as 27–28 October 2026. The decision was released on 28 October at 2:00 p.m. EDT—11:30 p.m. IST that day. This report is being published on 29 October in India; that does not make it a 29 October US policy decision.
The decision and its operating settings
| Item | Verified position | Official evidence |
|---|---|---|
| Federal funds target | 3.75%–4.00%; unchanged | FOMC statement |
| Vote and dissent | 10–2; Cook and Hammack preferred a 0.25-percentage-point rise | Voting record |
| Interest on reserve balances | 3.90%, maintained; effective 29 October | Implementation note |
| Primary credit rate | 4.00%; existing level retained | Implementation note |
Source observations: statement 2026-10-28T19:53:00.827Z; implementation note 2026-10-28T19:53:00.846Z; October calendar 2026-10-28T19:52:58.837Z. UTC timestamps.
A hold is not a promise about the next meeting
The Committee described economic expansion as strong while saying inflation remained elevated. It said additional information would help determine the appropriate policy stance for returning inflation to its 2% objective. Those are the Fed’s assessments, not a CapKet forecast.
The statement does not announce a future cut. Nor should the dissent be described as support for easing: the two opposing voters sought a higher range at this meeting.
Do not confuse different interest rates
The implementation note separately maintains interest paid on reserve balances and the primary credit rate. It also directs overnight repo operations at 4.00% and reverse-repo operations at 3.75%, with a $160 billion daily limit per counterparty for the latter. These are distinct operating tools, not interchangeable labels for the federal funds target.
The operating directive takes effect on 29 October. Its securities instructions allow purchases when appropriate to maintain ample reserves; Treasury principal is rolled over at auction, while agency principal is reinvested in Treasury bills. These instructions do not promise a particular consumer borrowing rate or investor return.
What to watch
The November calendar schedules these meeting minutes for 18 November. The meeting calendar lists 8–9 December as the next scheduled meeting. Neither entry establishes its outcome. Calendars checked 2026-10-28T19:53:17.968Z and 2026-10-28T19:53:00.948Z respectively.
Prepared with AI assistance and checked against the linked official documents. This report does not verify market reactions or press-conference remarks and is not personalised investment advice.
Recorded source observation: . This is a source-check timestamp, not a market quote or a new article update.