Fed Holds Rates But Three Dissenters Signal September Hike Risk

Three Federal Reserve officials voted on July 29 to raise interest rates immediately, and their dissent carries more information than the hold decision itself. The last time the FOMC split three ways was September 2016, a period that preceded a sustained tightening cycle, and the parallel is worth examining carefully before September's meeting becomes a live hike event. Key Takeaways The FOMC voted 9-3 on July 29 to hold the federal funds rate at 3.50%-3.75%, with Hammack, Kashkari, and Logan dissenting in favor of an immediate 25 basis point hike. Core PCE remained at 3.3% year-over-year in June 2026, just 10 basis points below May, confirming the final leg of disinflation toward the Fed's…