Fed Maintains Interest Rates as Inflation Shows Signs of Easing

WHO:

Business Insider - Kevin Warsh has already left his mark on the central bank since taking the helm this summer.

Bloomberg Markets - Katharine Neiss, PGIM Credit Global Economics Deputy Head, stated that the central bank's "Hawkish tilt" will come in September.

Business Insider - Kevin Warsh has announced plans to overhaul the central bank's approach to economic data and communications.

CBS News - The Federal Reserve (Fed) officials are involved in the decision-making process regarding interest rates.

NY Post - Kevin Warsh is the new chairman of the Federal Reserve, having taken over from Jerome Powell.

WHAT:

Bloomberg Markets - The inflation rate has exceeded the central bank’s 2 percent target for more than five years, contributing to the Fed's ongoing deliberations.

Bloomberg Markets - The Personal Consumption Expenditures price index dropped 0.1% from May, bringing the annual rate to 3.7% from 4.1%.

CNN - The "core" PCE index rose 0.1% on a monthly basis and was up 3.3% from a year ago, remaining at or above 3.3% for four months running, the longest such stretch since the fall of 2023.

CNN - The Personal Consumption Expenditures price index dropped 0.1% from May, bringing the annual rate to 3.7% from 4.1%.

CNN - Inflation-adjusted consumer spending rose 0.4%, matching an 11-month high.

CNN - Gasoline and energy goods prices sank 9.2% in June, the largest monthly drop since August 2022.

CNN - The "core" PCE index rose 0.1% on a monthly basis and was up 3.3% from a year ago, remaining at or above 3.3% for four months running.

CNN - In June, consumers increased their spending by 0.3% from the month before, with health care, motor vehicles, financial services, and insurance driving the gain.

CBS News - The Federal Reserve held interest rates steady for the fifth meeting in a row.

Newsweek - Mortgage rates could continue climbing in the coming weeks, even as the Federal Reserve paused rates for the fifth time this year.

Bloomberg Markets - Neiss mentioned that she expects three sequential rate hikes in September.

Bloomberg Markets - KPMG Chief Economist Diane Swonk expects a rate hike in September, indicating a shift in the Fed's approach to inflation management.

The Washington Post - The inflation rate has exceeded the central bank’s 2 percent target for more than five years, contributing to the Fed's ongoing deliberations.

Bloomberg Markets - KPMG Chief Economist Diane Swonk expects a rate hike in September.

CBS News - The Fed is leaving its benchmark interest rate unchanged for the fifth consecutive meeting.

Business Insider - Three voting members of the Fed are prepared to hike interest rates.

WHERE:

NY Post - The decisions are made by the Federal Reserve, which is based in Washington, D.C.

WHEN:

NY Post - Kevin Warsh took over as chairman in May.

WHY:

Bloomberg Markets - The decision to hold rates steady comes amid rising inflationary risks stemming from the war in the Middle East.

Bloomberg Markets - Neiss described Chairman Kevin Warsh's press conference as "weaker than expected."

CBS News - The decision to maintain interest rates is a sign that Fed officials expect inflation to ease.

NY Post - Warsh has called for a “good family fight” at the Fed, indicating a desire for more debate on interest rate policies.

HOW:

Business Insider - The Fed's decision-making process regarding interest rates is described as the closest call in months, reflecting ongoing discussions and differing opinions among members.

Bloomberg Markets - Diane Swonk spoke on Bloomberg Television's "The Fed Decides" regarding her expectations for the Federal Reserve's actions.

Business Insider - The Fed's decision-making process regarding interest rates is described as the closest call in months, reflecting ongoing discussions and differing opinions among members.

(UPDATED July 30, 2026 17:24 UTC)

The inflation rate has now surpassed the central bank's 2 percent target for over five years, influencing the Federal Reserve's ongoing discussions about interest rates. Recently, the Personal Consumption Expenditures price index saw a slight drop of 0.1% from May, bringing the annual rate down to 3.7%, while the core PCE index rose 0.1% month-over-month and remains at or above 3.3% for four consecutive months. This decision to hold rates steady comes amid rising inflationary risks linked to the war in the Middle East, making the Fed's deliberations the closest call in months as differing opinions among members continue to shape their approach.

(UPDATED July 30, 2026 16:26 UTC)

The Personal Consumption Expenditures price index has dropped by 0.1% from May, bringing the annual rate down to 3.7%. Meanwhile, inflation-adjusted consumer spending rose by 0.4%, matching an 11-month high, with significant contributions from health care, motor vehicles, financial services, and insurance. Additionally, gasoline and energy goods prices saw a notable decline of 9.2% in June, marking the largest monthly drop since August 2022.

(UPDATED July 30, 2026 13:30 UTC)

Kevin Warsh has already made an impact at the Federal Reserve since taking over this summer. The central bank decided to keep interest rates steady for the fifth consecutive meeting, even as mortgage rates are expected to rise in the coming weeks. This decision comes in response to increasing inflationary risks linked to the ongoing war in the Middle East.

(UPDATED July 30, 2026 11:39 UTC)

Katharine Neiss, the Deputy Head of Global Economics at PGIM Credit, has indicated that the central bank is likely to adopt a "hawkish tilt" in September. She anticipates three consecutive rate hikes during that month, which could have significant implications for the economy. Neiss also described Chairman Kevin Warsh's recent press conference as "weaker than expected," raising concerns about the central bank's direction.

(UPDATED July 30, 2026 05:54 UTC)

KPMG Chief Economist Diane Swonk anticipates a rate hike in September, signaling a change in the Federal Reserve's strategy for managing inflation. The inflation rate has been above the central bank's 2 percent target for over five years, which is influencing the Fed's current discussions. This ongoing situation highlights the challenges the central bank faces as it navigates economic pressures.

(UPDATED July 29, 2026 20:21 UTC)

Kevin Warsh has announced plans to overhaul the central bank's approach to economic data and communications. Meanwhile, KPMG Chief Economist Diane Swonk expects a rate hike in September, sharing her insights during an appearance on Bloomberg Television's "The Fed Decides." Swonk's comments highlight the anticipation surrounding the Federal Reserve's upcoming decisions.

(UPDATED July 29, 2026 19:25 UTC)

Kevin Warsh has taken over as chairman of the Federal Reserve, stepping in for Jerome Powell, and has called for more debate on interest rate policies. In a significant move, the Fed is leaving its benchmark interest rate unchanged for the fifth consecutive meeting, although three voting members are prepared to hike rates. This decision reflects the Fed officials' expectation that inflation will ease, highlighting the ongoing discussions and differing opinions within the committee based in Washington, D.C.