Fed Keeps Interest Rate Unchanged Amid High Prices

The Federal Reserve has kept its key interest rate unchanged at around 3.6% for now, despite high inflation and rising energy prices caused by the Iran War.

The decision was made by a vote of 9-3, marking the fifth straight meeting where no change was made to the benchmark rate. The dissenting votes came from Beth Hammack, president of the Federal Reserve Bank of Cleveland; Neel Kashkari, president of the Minneapolis Fed; and Lorie Logan, president of the Dallas Fed.

Inflation has been a persistent issue for over five years, with prices consistently above the central bank's 2% target. The decision to keep interest rates steady was made after two days of deliberations by the rate-setting committee.