The FOMC held the funds target at 3.50–3.75% for a fourth straight meeting (12–0), dropped its easing bias, and raised the end-2026 dot-plot median to 3.8%.¹
Why it matters
- •The statement cites inflation still elevated 'in part reflecting supply shocks … including energy' — oil is now setting the policy path.¹
- •Higher-for-longer supports the dollar and front-end yields while pressuring long-duration assets.²
- •The same conflict driving the inflation the Fed is fighting keeps a safe-haven bid under gold.²
Exposed assets
Citations
- 1.Federal Reserve — FOMC statement · 17 Jun 2026
- 2.CNBC · Jun 2026
Limitations · CPI/PCE energy pass-through and Chair Warsh's guidance could move the path either way — dots are projections, not commitments.
as of 18:00 UTC