Fed Holds Rates Steady for Fifth Straight Meeting

The US Federal Reserve has decided to keep interest rates unchanged for the fifth consecutive meeting. This decision was made after their second monetary policy meeting under Chair Kevin Warsh on Wednesday.

The Fed is keeping the benchmark interest rate between 3.5 and 3.75 percent, which means that borrowing costs will remain steady. They cited economic activity expanding at a solid pace despite uncertainty in regions such as the Middle East.

Inflation slowed sharply in June, but according to Chair Warsh, it is still higher than the Fed's target. Three members of the committee voted against the decision, advocating for a 0.25 percent rate hike.