FOMC Holds Federal Funds Rate Steady, Says Implications of Middle East Conflict 'Uncertain'

02:27 PM EDT, 03/18/2026 (MT Newswires) -- The Federal Open Market Committee kept the Federal Funds rate target unchanged at 3.50% to 3.75%, its statement Wednesday afternoon showed.

The policy committee's vote was mostly unanimous, with Governor Stephen Miran being the lone dissenter, preferring to lower the target range for the Fed Funds rate by 25 basis points.

The updated Summary of Economic Projections still points to one cut in 2026 and none in 2027, unchanged from the prior SEP in December. For 2026, the median GDP forecast was revised higher, and headline and core inflation projections were increased slightly.

Uncertainty in the US economic outlook remains "elevated," and the implications of the Middle East conflict are "uncertain," the statement said.

The committee "is strongly committed to supporting maximum employment and returning inflation to its 2 percent objective," according to the statement.

Fed Chair Jerome Powell's press conference begins at 2:30 p.m. ET.

MT Newswires does not provide investment advice. Unauthorized reproduction is strictly prohibited.