Fed Raises Rates in a ‘Firm, Unanimous Decision’ - Quality Magazine

For the first time in Federal Reserve Chair Kevin Warsh’s tenure, the committee voted to raise interest rates by a quarter-point to a target range of 3.75% to 4.00% in a move that was all but certain after a flat CPI inflation reading last week. The unanimous decision was a welcome return to normalcy after dissents were elevated over the past few meetings. The quarterly summary of economic projections (SEP) shows that inflation is not likely to reach the 2% target until 2029. Compared to the June meeting, the committee expects stronger growth, less unemployment, and slightly higher inflation in the remainder of 2026. The median projection of longer-term interest rates increased by one-tenth to 3.2% compared to the prior SEP.