Fed. Reserve raises interest rates for first time in 3 years amid inflation, despite Trump’s call for lower rates – One America News Network

September 16, 2026 Addie Davis US 0

Federal Reserve Chair Kevin Warsh speaks during a news conference following Federal Open Market Committee meetings at Federal Reserve Headquarters on September 16, 2026 in Washington, DC. (Photo by Andrew Harnik/Getty Images) — Federal Reserve Chair Kevin Warsh speaks during a news conference following Federal Open Market Committee meetings at Federal Reserve Headquarters on September 16, 2026, in Washington, D.C. (Photo by Andrew Harnik/Getty Images)

OAN Staff Addie Davis
2:22 PM – Wednesday, September 16, 2026

The Federal Reserve is raising interest rates for the first time in three years, a move aimed at countering high inflation.

In a Wednesday statement, the Federal Open Market Committee (FOMC) announced that rates were rising by a quarter percentage point, with a new range of 3.75% to 4%.

The committee maintains the target of 2% inflation, which the United States has not seen since 2020, according to US Inflation Calculator.

“For more than five years, inflation has been running above target,” said Chair of the Federal Reserve Kevin Warsh during a Wednesday press conference. “The plain fact is that inflation is too high and has been for too long.”

The vote to raise the federal funds rate was unanimous among the 12 members of the committee. Despite inflation being high, the FOMC expressed optimism regarding the economy.

“Economic activity is expanding at a solid pace. While uncertainty remains elevated owing, in part, to geopolitical developments, domestic spending has been resilient,” the statement read. “Productivity growth is strong, and capital investment is robust. Job gains have kept pace with the workforce, and the unemployment rate has changed little.”

However, the committee’s decision appears to be at odds with the wishes of President Donald Trump, who posted a call for lower rates to Truth Social following the decision.

“Interest rates in the United States should be 1%, or less, because we are the Best Credit in the World — BY FAR. Our Country is BOOMING with new Investment! If we stopped Trading with every country that we have a Deficit with, which is most of them, we would make, at least, 1.5 Trillion Dollars a year,” the president said.

“The word ‘Deficit’ is nothing more than a fancy word for LOSS. We are ‘carrying’ almost every country in the World, and that cannot go on any longer,” he continued. “LOWER THE INTEREST RATES FOR THE UNITED STATES OF AMERICA, AND FAST!”