FOMC · Thursday, September 17, 2026
Fed raises rates a quarter point to 3¾–4 percent
The File desk · Sep. 17, 2026, 10:20 a.m. ET
Confirmed6 primary sources
Status
Confirmed from the Federal Reserve Federal Open Market Committee statement and Implementation Note, Sept. 16, 2026, and the Summary of Economic Projections accessible tables.
The Federal Reserve’s rate-setting committee raised the federal funds target range by a quarter percentage point on Wednesday to 3¾ to 4 percent. The vote was 12–0. The statement said the economy is expanding at a solid pace, job gains have kept pace with the workforce, and the unemployment rate has changed little, while inflation remains elevated. Officials said the move supports a quicker return to the 2 percent inflation goal. The Implementation Note raises the interest rate on reserve balances to 3.90 percent and the primary credit rate to 4.0 percent, both effective Sept. 17, 2026, and directs open-market operations to keep the funds rate in the new range. Separately, the Summary of Economic Projections shows a median year-end 2026 funds-rate midpoint of 4.1 percent (up from 3.8 percent in June), unemployment at 4.1 percent for 2026, and personal consumption expenditures inflation at 3.7 percent for 2026. The next scheduled Federal Open Market Committee meetings are Oct. 27–28 and Dec. 8–9 (December carries a Summary of Economic Projections). Friday’s August Consumer Price Index remains the last major Bureau of Labor Statistics inflation print before this decision: the all-items index rose 0.4 percent in August after seasonal adjustment and was up 3.4 percent over 12 months. The Federal Reserve Bank of St. Louis FRED seasonally adjusted Consumer Price Index series still shows August 2026 as the latest observation, at 334.131, with the next Bureau of Labor Statistics release Oct. 14, 2026.
The Federal Reserve’s rate-setting committee raised the federal funds target range by a quarter percentage point on Wednesday to 3¾ to 4 percent.
The vote was 12–0.
The statement said the economy is expanding at a solid pace, job gains have kept pace with the workforce, and the unemployment rate has changed little, while inflation remains elevated.
Officials said the move supports a quicker return to the 2 percent inflation goal.
The Implementation Note raises the interest rate on reserve balances to 3.90 percent and the primary credit rate to 4.0 percent, both effective Sept. 17, 2026, and directs open-market operations to keep the funds rate in the new range.
Separately, the Summary of Economic Projections shows a median year-end 2026 funds-rate midpoint of 4.1 percent, up from 3.8 percent in June, unemployment at 4.1 percent for 2026, and personal consumption expenditures inflation at 3.7 percent for 2026.
The next scheduled Federal Open Market Committee meetings are Oct. 27–28 and Dec. 8–9. December carries a Summary of Economic Projections.
Friday’s August Consumer Price Index remains the last major Bureau of Labor Statistics inflation print before this decision. The all-items index rose 0.4 percent in August after seasonal adjustment and was up 3.4 percent over 12 months.
The Federal Reserve Bank of St. Louis FRED seasonally adjusted Consumer Price Index series still shows August 2026 as the latest observation, at 334.131. The next Bureau of Labor Statistics release is Oct. 14, 2026.
How we know
What is still unknown or disputed
- Individual participant projections beyond the published medians and ranges, and how markets price the next move, are outside the statement text.
Primary sources
Every claim in this story is drawn from the documents below. If a fetch failed, that is recorded on the card.
Source 1
Federal Reserve issues FOMC statement
Board of Governors of the Federal Reserve System · September 16, 2026
The Committee decided to raise the target range for the federal funds rate by 1/4 percentage point to 3-3/4 to 4 percent… approved for release by a 12 – 0 vote… Inflation remains elevated.
https://www.federalreserve.gov/newsevents/pressreleases/monetary20260916a.htm
Source 2
Implementation Note issued September 16, 2026
Board of Governors of the Federal Reserve System · September 16, 2026
Raise the interest rate paid on reserve balances to 3.90 percent, effective September 17, 2026… maintain the federal funds rate in a target range of 3-3/4 to 4 percent… primary credit rate to 4.0 percent.
https://www.federalreserve.gov/newsevents/pressreleases/monetary20260916a1.htm
Source 3
September 16, 2026: FOMC Projections materials, accessible version
Board of Governors of the Federal Reserve System · September 16, 2026
Median federal funds rate 2026 4.1; unemployment rate 2026 4.1; PCE inflation 2026 3.7; June projection funds rate 2026 was 3.8.
https://www.federalreserve.gov/monetarypolicy/fomcprojtabl20260916.htm
Source 4
Meeting calendars and information (2026 FOMC Meetings)
Board of Governors of the Federal Reserve System · checked 2026-09-17
September 15-16* Statement / Implementation Note / Press Conference / Projection Materials posted; next meetings October 27-28 and December 8-9*.
https://www.federalreserve.gov/monetarypolicy/fomccalendars.htm
Source 5
CONSUMER PRICE INDEX — AUGUST 2026 (USDL-26-1496)
U.S. Bureau of Labor Statistics · September 11, 2026
CPI-U +0.4% SA Aug.; +3.4% over 12 months; next release Oct. 14, 2026, 8:30 a.m. ET.
https://www.bls.gov/news.release/archives/cpi_09112026.htm
Source 6
Consumer Price Index for All Urban Consumers (CPIAUCSL)
Federal Reserve Bank of St. Louis (FRED) · checked 2026-09-17
FRED CPIAUCSL CSV retrieved Sept. 17, 2026: last observation Aug 2026, 334.131. No September observation. Next BLS CPI release Oct. 14, 2026.
https://fred.stlouisfed.org/series/CPIAUCSL