The Fed held rates steady at 3.5%-3.75% on March 18, 2026, citing inflation and economic strength.

The United States As expected, the Federal Reserve kept its key interest rate steady at 3.5% to 3.75% on March 18, 2026. Chair Jerome Powell said the current policy would stay in place because of ongoing inflation and a strong economy. The decision shows that they are data-driven and have no plans to change rates right away. Markets were volatile at first because of tensions around the world, rising oil prices, and uncertainty about the Middle East's political situation. Other things that happened were trade talks between the US and China in Paris, airline executives asking Congress to restore funding for the Department of Homeland Security, and a federal judge stopping a proposed change to childhood vaccine guidelines.