Fed Holds Rates Steady Despite Inflation Fears

The US Federal Reserve has decided to keep interest rates unchanged at 3.50 percent to 3.75 percent, despite three policymakers voting in favor of a quarter-percentage-point hike.

The decision was made by the Fed's rate-setting committee after a two-day meeting, with nine members voting in favor and three against.

New Fed Chair Kevin Warsh has vowed to have 'no tolerance' for inflation, which has been above the central bank's 2 percent target since early 2021.

Warsh acknowledged that there was a 'good family fight' over the decision to keep rates steady and stressed that there is no quick fix for inflation.