Fed holds rates steady as it weighs future moves in a high-uncertainty economy

The Federal Reserve kept the target range for the federal funds rate at 3.50%–3.75%, citing solid economic activity but still-elevated inflation and elevated uncertainty. It reaffirmed a data‑dependent stance aimed at achieving maximum employment and 2% inflation, indicating it is ready to adjust policy if risks to its dual mandate emerge. Two voters preferred a 25 basis point cut, while the rest supported holding steady.