Current:Home > FinanceWhen's the next Federal Reserve meeting? Here's when to expect updates on current rate. -BeyondWealth Learning
When's the next Federal Reserve meeting? Here's when to expect updates on current rate.
View
Date:2025-04-11 16:15:12
The Federal Reserve's benchmark, short-term rate has held a 23-year high of 5.25% to 5.5% since July 2023. This pause follows aggressive rate hikes dating back to March 2022, a period in which the central bank raised rates 11 times. The goal, at that time, was to make borrowing more expensive to cool down the economy and surging inflation.
After raising its key interest rate for nearly two years to tamp down growth and rising prices, economists expected the Fed to cut the rate to bring it more in line with slowing inflation. However, estimates have been scaled back with most rate cut predictions shifting to two, one or none after inflation accelerated early this year.
Earlier this month, Federal Reserve Chair Jerome Powell told Congress, "I'm today not going to be sending any signal about the timing of future action," regarding lower interest rates.
Ahead of this week's meeting, this is the Federal Reserve's schedule for the remainder of the year.
When is the next Fed meeting?
The next Federal Reserve meeting will be held from July 30 through 31.
Learn more: Best current CD rates
Federal Reserve 2024 Meeting Schedule
- Jan. 30–31
- March 19–20
- April 30–May 1
- June 11–12
- July 30–31
- Sept. 17–18
- Nov. 6–7
- Dec. 17–18
Why does the Fed raise interest rates?
The Fed is the nation's central bank, leaving it in charge of monetary policy. This means the Fed sets interest rates and controls the money supply.
Its dual mandate is to promote "maximum employment and stable prices in the U.S. economy." Stable prices mean the Fed tries to keep inflation in check, with its long-term annual target at 2%.
To control inflation, one of the Fed's main tools is the federal funds rate, which is the rate banks charge each other for overnight loans. If that rate rises, banks generally pass on their additional cost.
Even though the Fed does not directly control all interest rates in the country, when it raises the fed funds rate, other interest rates eventually follow, including adjustable-rate mortgages, credit cards, home equity lines of credit, and other loans.
What is inflation?
Inflation is a generalized rise in prices, affecting different goods and services throughout the economy, such as gas, rent and food.
It can be caused by several factors, such as more people spending money on goods or services that are not readily available to meet that demand. That allows producers and service providers to raise prices without worrying about a significant loss in sales.
Inflation also could be caused by a shortage of supply. If there are not enough goods to meet the demand for a good or service, this could lead to an increase in a manufacturer's or retailer's wholesale costs, which, in turn, would be passed along to consumers through higher retail prices.
Just Curious for more? We've got you covered
USA TODAY is exploring the questions you and others ask every day. From "What is inflation?" to "What is a recession?" to "How to enroll in Zelle?" – we're striving to find answers to the most common questions you ask every day. Head to our Just Curious section to see what else we can answer.
veryGood! (117)
Related
- Angelina Jolie nearly fainted making Maria Callas movie: 'My body wasn’t strong enough'
- Meet the trio of top Boston Red Sox prospects slugging their way to Fenway
- Paris Olympics are time to shine for Breanna Stewart, A'ja Wilson: 'We know what's at stake'
- US women's 4x100 free relay wins silver at Paris Olympics
- Taylor Swift Eras Archive site launches on singer's 35th birthday. What is it?
- When is Olympic gymnastics on TV? Full broadcast, streaming schedule for Paris Games
- Yes, walnuts are good for you. But people with this medical condition should avoid them.
- Comedian Carrot Top reflects on his 30-year friendship with Toby Keith
- DoorDash steps up driver ID checks after traffic safety complaints
- USA Shooting comes up short in air rifle mixed event at Paris Olympics
Ranking
- Federal hiring is about to get the Trump treatment
- US Olympic medal count: How many medals has USA won at 2024 Paris Games?
- Even on quiet summer weekends, huge news stories spread to millions more swiftly than ever before
- Apple has reached its first-ever union contract with store employees in Maryland
- Federal Spending Freeze Could Have Widespread Impact on Environment, Emergency Management
- How many Olympics has Simone Biles been in? A look at all her appearances at the Games.
- Three members of family gospel group The Nelons killed in Wyoming plane crash
- How deep is the Olympic swimming pool? Everything to know about its dimensions, capacity
Recommendation
Angelina Jolie nearly fainted making Maria Callas movie: 'My body wasn’t strong enough'
Waffle fry farewell? Chick-fil-A responds to rumors that it's replacing its famous fries
Justin Timberlake's lawyer says singer wasn't drunk, 'should not have been arrested'
Piece of Eiffel Tower in medals? Gold medals not solid gold? Olympic medals deep dive
North Carolina trustees approve Bill Belichick’s deal ahead of introductory news conference
Oldest zoo in the US finds new ways to flourish. See how it is making its mark.
Team USA cyclist Chloe Dygert wins bronze medal in individual time trial
Attorney for cartel leader ‘El Mayo’ Zambada says his client was kidnapped and brought to the US