Fed Meeting Live Updates: Rate Cuts Announced in Split Decision

Stocks popped on the rate decision, even as dissent among Fed officials points to heightened uncertainty over the path of monetary policy in 2026. The S&P 500 rose 0.4% and the Dow gained 300 points.

“We’re looking for more discussion of the dissent at the press conference,” said Paul Hickey, cofounder of Bespoke Investment Group, adding that beyond that, the market’s expectations for what Jerome Powell could say may be more muted compared to past meetings. That’s because the Fed chief is nearing the end of his term, and investors have already penciled in fewer rate cuts in 2026.

Stocks popped on the rate decision, even as dissent among Fed officials points to heightened uncertainty over the path of monetary policy in 2026. The S&P 500 rose 0.4% and the Dow gained 300 points.

“We’re looking for more discussion of the dissent at the press conference,” said Paul Hickey, cofounder of Bespoke Investment Group, adding that beyond that, the market’s expectations for what Jerome Powell could say may be more muted compared to past meetings. That’s because the Fed chief is nearing the end of his term, and investors have already penciled in fewer rate cuts in 2026.

“This is just about exactly what the market expected, so any potential surprises will need to be teased out at the press conference,” Art Hogan, chief market strategist for B. Riley Wealth, said after the decision. The move higher in bond yields since the middle of last month reflects a growing expectation among investors that rates aren’t poised to fall much more and could actually rise again down the road.

“At the last meeting, there was a big reaction because the market was expecting cuts going forward, but they’re not much of expecting anything now. I don’t expect much between now and the end of his term,” Hickey said.