Fed holds rates at 3.75%-4%, with two votes to raise them
Two committee members wanted a quarter-point hike. Mexico's central bank, with its rate at 6.50%, decides Nov. 5.
The Federal Open Market Committee, the Federal Reserve body that sets U.S. interest rates, held its benchmark range at 3.75%-4%. The decision came out Wednesday at noon Mexico City time.
The vote was 10-2.
The two dissenters, Lisa D. Cook and Beth M. Hammack, wanted a quarter-point increase. In September the committee had raised the rate by 25 basis points to that same range with no dissent, a 12-0 vote.
The statement describes an economy expanding at a solid pace and inflation that "remains elevated." The committee says it will set its course as new data arrive, aiming to bring prices back to its 2% goal. It gives no reasons for the two dissents.
For Mexico, the next decision belongs to Banxico, the country's central bank. Its rate has stood at 6.50% since June 25. At its unanimous Sept. 24 meeting, Banxico's board said its policy "would not have to react mechanically" to changes in the U.S. rate.
Mexican inflation ran at 3.62% a year in the first half of October 2026, according to INEGI's consumer price index, the INPC, which tracks what consumers pay. Banxico's target is 3%.
Banxico announces its next decision Thursday, Nov. 5, at 13:00 Mexico City time. The Fed meets again Dec. 8-9.
