Fed Holds Rates Steady in July as Dissent Intensifies; Three Officials Push for a Hike

The Federal Open Market Committee voted 9 to 3 at its July 2026 meeting to keep the target range for the federal funds rate unchanged at 3.50% to 3.75%. The result contrasted with the unanimous 12-0 vote in June. The three dissenting votes came from Cleveland Fed President Beth Hammack, Minneapolis Fed President Neel Kashkari and Dallas Fed President Lorie Logan, all of whom favored a 25-basis-point rate increase. It was the fifth consecutive meeting at which rates were held steady.

While some global technology leaders posted better-than-expected second-quarter earnings, their share prices remained under pressure; meanwhile, the US Treasury yield curve steepened. In its statement, the Fed reiterated that inflation remains elevated, partly reflecting the impact of shocks.