The Federal Reserve holds interest rates steady but there is internal dissent.

On Wednesday, the Federal Reserve, embroiled in internal disagreements, resisted fierce criticism from President Trump and dissent from two senior officials, and decided to keep the benchmark interest rate unchanged. The Federal Open Market Committee, responsible for setting the federal funds rate, hit the pause button with a 9-2 vote, and the federal funds rate will continue to range between 4.25% and 4.5%. Although this rate only determines the overnight borrowing cost between banks, it affects the price of funds in the entire economic system. However, this decision was opposed by two board members, Michelle Bowman and Christopher Waller, who advocated for a rate cut to reflect the controlled inflation and the possibility of a weakening labor market. This is the first time since late 1993 that multiple board members have voted against the interest rate decision.