The Federal Reserve held its benchmark rate at 3.75% to 4.00% Wednesday, after pre-decision market pricing leaned toward no October move and a possible December increase.
Four hours before the Oct. 28 announcement, market pricing gave a 90.6% likelihood to no change that day and a 78.4% chance of a 25-basis-point rise in December. The same reading implied a 13.6% likelihood that December would bring no increase. It was recorded before the October decision and does not establish current December pricing.
The Federal Open Market Committee (FOMC) kept its target range unchanged. Fed Governor Lisa D. Cook and Cleveland Fed President Beth M. Hammack were the two dissenters, preferring a quarter-point increase. EconoTimes previously covered the vote and its two dissents.
At its Sept. 16 meeting, the committee had raised rates by 25 basis points in a unanimous 12-0 vote. The FOMC is next scheduled to meet Dec. 8-9.
