Fed Holds Rates at 3.5%–3.75%; Warsh Cites Bond Yields as De Facto Tightening

On July 29, 2026, the FOMC voted 9–3 to hold its benchmark rate at 3.5%–3.75%. Chairman Warsh said rising Treasury yields — the interest rates the government pays borrowers — are doing the Fed's inflation-fighting work. Three regional presidents dissented, wanting a hike. For borrowers, long-term market rates, not the policy rate, are what bite.