Fed, dot plot
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The Federal Reserve released its latest "dot plot" at its September meeting. Released quarterly, it shows where Fed members expect interest rates to be in the coming months and years. Yahoo Finance Senior Reporter Allie Canal breaks down the most recent dot plot and shows how it has changed from June.
The Federal Reserve's latest economic projections reveal a surprisingly shallow path for interest rate cuts in 2026, signaling that the policy will remain restrictive as the central bank contends with a resilient economy and sticky inflation.
Futures on the federal funds rate, which measure the cost of unsecured overnight loans between banks, further raised the odds on Wednesday that the Federal Reserve will deliver another interest rate cut at the October meeting,
There was a wide range of forecasts among Fed officials in the so-called “dot plot” for the path that interest rates could take. While additional rate cuts appear to be in store after Wednesday’s quarter-point reduction, the degree to which the Fed acts will depend on how these key economic forces play out.