Fed Holds at 3.75-4.00% in 10-2 Split Vote; Cook and Hammack Dissent in Favor of a Hike

The FOMC held the federal funds target range at 3.75-4.00% on Oct 28, 10-2, with Governor Lisa Cook and Cleveland Fed President Beth Hammack dissenting in favor of another hike. Chair Warsh said politics played no role ahead of the midterms, that inflation remains elevated, and that he does not believe in forward guidance absent a crisis; from 2027 one of the eight annual meetings will be strategy-only with no rate decision. Futures still favor a December hike.