Fed Expected to Hold Rates Steady Through 2027, Poll Shows

A Reuters poll conducted between August 12 and 17 found that nearly all economists expect the Federal Reserve (Fed) to keep interest rates unchanged in September and for the rest of this year. The poll showed that 94 out of 104 economists believe the Fed will leave its benchmark rate at 3.50%-3.75% at the upcoming meeting, which is consistent with last month's survey.

Nearly 80% of respondents, or 80 economists, forecast no change in interest rates through the end of the year. The poll also suggests that rates will remain at current levels until at least 2027. Economists expect Personal Consumption Expenditures (PCE) inflation to average 3.5% this year, which is unchanged from last month's forecast.