Fed holds rates at 3.75% to 4%: the October 28, 2026 FOMC statement

Video explainer · Stock Indices · Summary written by UXS November 10, 2026

Video by Federal Reserve on YouTube (6:30, uploaded October 28, 2026). Embedded with the official YouTube player; UXS did not make this video. Watch on YouTube

Our summary

In this official video the Fed Chair reads the opening statement from the press conference after the October 28, 2026 meeting of the Federal Open Market Committee.

  • The decision: the committee kept the target range for the federal funds rate at 3.75% to 4.00%.
  • Growth: the Chair described economic activity as expanding at a strong pace, citing an upward revision to first-half GDP growth (from 1.8% to 2.4%) and strong consumer spending and business investment in the third quarter, led by high-tech investment.
  • Jobs: job gains were described as keeping pace with the workforce, with the unemployment rate little changed and jobless claims very low.
  • Inflation: the main concern. Inflation was described as elevated and above the 2% goal for close to six years, with energy prices moving higher again in recent weeks. The committee wants more information before deciding its next step and stressed its readiness to act.
  • Financial conditions: the Chair said conditions had tightened for some businesses and households since the September action, but would not call them tight.
  • Meeting schedule: the FOMC will keep eight meetings a year, but in 2027 one meeting will be devoted only to longer-run strategy, with no rate vote or statement expected. The Chair said two such strategy meetings are expected in 2028.

Why it matters for traders: rate expectations feed into bond yields, the dollar and stock valuations. Compare the decision with our fed funds vs 10-year Treasury yield chart.