Fed holds rates steady in 9-3 split as traders price rising odds of a September hike

The National (UAE)—The Federal Reserve held interest rates steady in a 9-3 vote, one of its most divided decisions under chair Kevin Warsh, who insisted there is 'no soft implicit target' above 2 percent inflation even as three governors pushed for an immediate hike, unsettling AI-linked chip stocks in the process. Markets responded by pricing in a 57% chance of a September rate increase, up sharply from 30% before the meeting. The steady rate marks the fifth consecutive meeting without a change, a run that contrasts with Warsh's own hawkish public rhetoric. The Bank of England made a similar call the same day, holding its own rate at 3.75 percent despite flagging upside inflation risks.

• The National (UAE) — US Fed holds interest rates steady in split decision
• Hindustan Times — Fed holds interest rates steady amid dissenting voices on inflation concerns; Key details here
• The Australian — Warsh Answers Questions After Fed Decides to Hold Rates Steady
• CNBC — Technology — Meta's weak earnings guidance added to the inflation-worry backdrop
• New York Post — Business — AMD, Nvidia, Broadcom fell 6-11% amid AI-bubble jitters after the decision
• NPR — Federal Reserve holds interest rates steady amid elevated inflation concerns
• Guardian — Business — Bank of England holds interest rates at 3.75% as inflation fears mount
• Guardian — US — Federal Reserve holds interest rates steady amid elevated inflation concerns
• Guardian — US — Eurozone GDP grew 0.4% in Q2, per Eurostat data
• Yonhap News — (2nd LD) Fed holds key interest rate steady in 9-3 decision
• Yonhap News — (3rd LD) Fed holds key interest rate steady in 9-3 decision
• Yonhap News — South Korean won rose to a 5-month high on the decision
• Premium Times — Federal Reserve holds interest rates steady amid elevated inflation concerns
• The Independent (UK) — economists had predicted a 7-2 BoE vote split
• Semafor — A divided Fed votes to hold rates steady
• Semafor — Federal Reserve holds interest rates steady at latest policy meeting amid economic debate
• The Hill — Watch: Warsh gives remarks as Fed holds interest rates steady
• CNBC — Bank of England holds UK interest rate steady at 3.75% — but policymakers see upside inflation risk
• PBS NewsHour — News Wrap: Federal Reserve holds interest rates steady, but some vote for increase
• Breitbart — A Divided Fed Holds Interest Rates Steady