Federal Reserve holds rates steady in unanimous decision at Chair Kevin Warsh’s first meeting

The Federal Reserve on Wednesday held interest rates steady in a unanimous decision at its first rate-setting meeting under Chair Kevin Warsh. The Federal Open Market Committee maintained the baseline interest rate, leaving the target range for the federal funds rate at 3.5 percent to 3.75 percent.

The move came as Warsh presided over the FOMC for the first time since taking the chairmanship of the central bank. The decision was described as unanimous within the committee, according to the report.

The FOMC’s baseline rate is the central policy lever the Fed uses to influence borrowing costs across the economy. Keeping the rate unchanged means the Fed is continuing to operate from its existing policy stance rather than indicating an immediate tightening or easing of monetary conditions.

The Fed’s next policy steps will depend on incoming inflation, jobs, and broader economic data, as well as the central bank’s assessment of financial and credit conditions. Wednesday’s hold keeps the timing of any changes tied to subsequent meetings and updated forecasts.

The decision also keeps unchanged the immediate baseline for a wide set of rate-sensitive products, including new lending and interest-rate benchmarks that can affect household and business credit costs over time.

The meeting outcome means Warsh begins his tenure with a decision to maintain current policy settings, setting a baseline for how he approaches future deliberations at subsequent FOMC meetings.

The Federal Reserve is scheduled to provide additional details, including the committee’s assessment of economic conditions and any guidance about the path of policy, through its standard communications following the meeting.