Fed's Warsh Keeps Rate-Rise Option Alive Despite Holding Steady

At his debut FOMC meeting on June 16–17, chair Kevin Warsh held the federal funds rate at 3.5%–3.75%, meeting expectations. But the crucial signal came from what he didn't rule out: rate increases before year-end 2026. By declining to foreclose the upside path, Warsh signaled the Fed isn't finished tightening. For borrowers and savers, this means short-term rates may not be peaked.