Fed Meeting Ends: Rates Unchanged and PCE Inflation Report Today

Fed Meeting News: Rates Held at 3.75% to 4.00% as PCE Data Nears

The latest Fed Meeting News centers on a split decision. On October 28, the Federal Reserve kept its key rate at 3.75% to 4.00%. Two officials wanted a 25 basis point hike. Now investors are waiting for the September PCE report, due today at 8:30 a.m. EDT. This Fed Meeting News matters for Bitcoin and Ethereum moves, stocks, and bond yields, because inflation data can shift rate expectations quickly.

At a Glance

• Fed decision: Rates held at 3.75% to 4.00%.

• Vote: 10 to 2, with two members favoring a hike.

• PCE release: Thursday, Oct. 29, 2026, at 8:30 a.m. EDT.

• Inflation target: 2%.

• Market focus: Price data, rate hike odds, and crypto volatility.

Fed Meeting News: Why Did the Federal Reserve Hold Rates?

The Federal Open Market Committee left the federal funds rate unchanged after raising it by a quarter point in September. Governor Lisa Cook and Cleveland Fed President Beth Hammack voted against the hold. Both preferred another 25 basis point increase.

The Fed said economic activity is expanding at a strong pace. Spending is resilient, productivity is strong, and job gains have kept up with the workforce. Still, the statement says inflation remains elevated.

Chair Kevin Warsh gave no firm signal on more hikes. He said decisions will follow incoming data. He also plans to reduce the number of rate-setting meetings from 2027, which adds another layer to this Fed Meeting News cycle.

Sources: Federal Reserve FOMC statement (Oct. 28, 2026)

September PCE Inflation Forecast: What Are Economists Expecting?

Headline PCE includes food and energy prices. Core leaves them out, which helps show underlying inflation. Policymakers watch both, but core often guides longer-term decisions.

Forecasts reflect FactSet consensus estimates. Some social media posts cite 3.6% for the yearly headline figure, so check the official Bureau of Economic Analysis release.

Even the lowest forecast sits well above the Fed's 2% goal. That is why this Fed Meeting News keeps the focus on inflation, not rate cuts.

Oil Prices and AI Spending: What Could Keep Inflation Elevated?

Oil and fuel prices are a key driver. Oxford Economics estimates PCE energy prices rose 5.4% in September. Energy has a smaller weight in this gauge, about 4%, compared with roughly 9% in the Consumer Price Index. So the same fuel jump affects the two measures differently.

AI spending is another factor. Citi and Oxford Economics both point to higher prices for computer hardware as data center demand outpaces supply. Citi does not see broad pass-through from energy to other goods yet.

Demand also matters. The Kobeissi Letter noted that demand-driven components added 1.2 percentage points to August's 3.4% yearly PCE inflation rate. Demand can respond to higher rates, while supply shocks often cannot. Oil and AI spending alone do not explain the full price picture, and that nuance shapes the Fed Meeting News outlook.

Source: Bureau of Economic Analysis

Fed Meeting News Timeline: What Happens Next?

As of Tuesday, investors saw more than a 70% chance of one quarter-point hike by year-end. The odds of hikes in both October and December had fallen to about 9%. Natixis economist Christopher Hodge expects a December increase, though that is a forecast, not a confirmed move.

Warsh also announced a schedule change. Starting in fall 2027, one of the Fed's eight yearly meetings will focus on long-term strategy instead of rate votes. He expects six rate-setting meetings per year by 2028.

Source: The Kobeissi Letter

How Could Fed Meeting News and PCE Data Affect Bitcoin and Ethereum?

Federal Reserve Rate expectations shape risk appetite. When investors expect higher rates for longer, Treasury yields and the US dollar often rise. That can weigh on speculative assets such as Bitcoin and Ethereum.

Here are three possible scenarios:

• Cooler data than forecast: Traders may hope for a softer Fed, which could support risk assets.

• Hotter data than forecast: Markets may price in tighter policy, which could pressure crypto and stocks.

• Data in line: The first reaction may be limited, though details in the report can still move prices.

None of these outcomes is guaranteed. Short-term moves can also reverse within hours, so traders should be careful with sudden swings.

What Should Investors Watch After the PCE Release?

• Compare headline and core readings with the forecasts.

• Check if monthly price growth is speeding up or slowing.

• Watch Treasury yields and the US dollar for shifts in rate expectations.

• Follow Bitcoin and Ethereum volatility, but expect some reversals.

• Look for new Fed commentary, since one report rarely decides policy.

Conclusion

The latest Fed Meeting News shows a central bank that paused but has not declared victory over inflation. Two dissenters wanted a hike, and the September PCE report may add pressure or relief. Investors should focus on official data, Fed commentary, and risk management as the December checkpoint approaches.

YMYL Disclaimer: This article is for information only and is not financial or investment advice. Always do your own research and consult a licensed advisor. Cryptocurrency investments are volatile and carry a high risk of loss. Never invest more than you can afford to lose.