Fed Raises Benchmark Rate to 3.75%-4% in First Hike Since 2023

The Federal Reserve unanimously raised its benchmark rate by a quarter point to 3.75% to 4% on September 16, 2026. The increase was the first since July 2023 and the first under Chair Kevin Warsh. The benchmark sets borrowing costs across the U.S. economy, so the turn back toward tightening will ripple through credit.