Christopher Rugaber, Associated Press Christopher Rugaber, Associated Press WASHINGTON (AP) — The Federal Reserve kept its key rate unchanged Wednesday at about 3.9% despite stubbornly high inflation, as Chairman Kevin Warsh suggested its policies are already showing signs of having an impact. The Fed said "inflation remains elevated" in the statement it released after its two-day meeting, and added that holding off on a rate increase allows "the accumulation of more information" that will inform the Fed's next steps. The Fed raised its benchmark rate last month by a quarter-point for the first time in three years, defying President Donald Trump's demands for rate cuts, in an effort to bring inflation back to its 2% target more quickly.
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