WASHINGTON — Most Federal Open Market Committee participants believe another interest rate increase may be needed before year-end, but any decision will depend on incoming economic data, according to meeting minutes reported by the ABA Banking Journal.
The committee voted unanimously in September to raise the federal funds rate target range by a quarter percentage point to 3.75% to 4%, its first increase since 2023.
The minutes show participants remained concerned about inflation, with many anticipating another increase before the end of 2026, according to the ABA Banking Journal.
Officials emphasized that they had not committed to a particular course and would assess new information before deciding whether to raise rates again.
“Participants emphasized… that they approached each meeting with an open mind and decisions at future meetings would depend on incoming information and its implications for the outlook and the balance of risks,” the minutes stated.
