Interest Rates Left Unchanged, Some Fed Members See Hike in 2026

• FOMC kept rates unchanged, with 9 of 18 members penciling in a 2026 rate hike.
• Fed lowered its median 2026 GDP projection from 2.4% to 2.2%.
• Market reaction was slightly weaker, with 10-year yields ticking up and Bitcoin futures falling.
• New Fed Chair Kevin Warsh is expected to bring a more critical and potentially less transparent approach to Fed communication, fostering more internal debate.

The FOMC kept interest rates unchanged, as expected, but 9 out of 18 members now project a rate hike in 2026, and the Fed lowered its median 2026 GDP projection. The discussion centered on the market's slightly weaker reaction, economic resiliency, and the potential for a new, more critical tone from the new Fed Chair, Kevin Warsh, regarding Fed transparency and policy.