Overview
- The FOMC lowered the federal funds rate by 25 basis points to 3.50%–3.75% in a 9–3 vote, the most dissents since 2019.
- Chicago Fed President Austan Goolsbee and Kansas City Fed President Jeffrey Schmid favored no change, while Governor Stephen Miran backed a 50 basis‑point cut.
- Several participants indicated it would likely be appropriate to keep the target range unchanged for some time after the December move.
- The committee restarted purchases of short‑term Treasury bills at about $40 billion per month to support reserves and short‑term funding markets.
- Updated projections anticipate additional cuts in 2026 and 2027, and markets largely expect the Fed to stay on hold in upcoming meetings as officials assess incomplete data.