Fed meeting signals 25 basis point policy firming and rising Treasury yields

On Tuesday, September 15, 2026, the Federal Open Market Committee and the Board of Governors met at 10:30 a.m. In the Board’s offices, and the session resumed on Wednesday, September 16, 2026, at 9:00 a.m. The manager opened the meeting with an overview of market developments over the intermeeting period, noting that Asset prices rose, Treasury yields climbed, and the dollar depreciated against major foreign currencies.

The manager highlighted a 25‑basis‑point increase in the target range for the federal funds rate, driven by resilient economic data and rising inflation expectations. Treasury yields increased roughly 35 basis points across the 2‑to‑10‑year segment, while near‑term inflation compensation rose in line with oil price movements. Equity prices gained modestly, with AI‑infrastructure‑financed companies outperforming the broader market.

Money‑market conditions remained stable, with the effective federal funds rate steady relative to the interest on reserve balances and repo rates trading just below that level on average. The Desk paused reserve‑management purchases, keeping reserve balances within an ample range, and the Committee ratified the Desk’s domestic transactions over the intermeeting period. No foreign‑currency interventions occurred during the period.

Read the full story at federalreserve.gov.