Fed Keeps Rates Steady, Defying Market Bets

Policy-Making Body Holds Rates for Second Consecutive Meeting

Interest-Rate Decision Due Today Despite Inflation Concerns

WASHINGTON, D.C. - The Federal Open Market Committee (FOMC), the policy-making body of the Federal Reserve, kept interest rates steady during its most recent meeting in June 2024, continuing a trend from prior meetings. The Fed is scheduled to release its interest-rate decision today at 2 pm, but is widely expected to hold rates unchanged.

Despite the Fed's hawkish stance, markets are anticipating more than a single rate cut in 2024. Fed officials had earlier projected only one rate cut later in the year. However, the FOMC median now forecasts a single quarter-point cut in 2024, two fewer than projected in March amidst concerns over inflation.