Federal Reserve meets Wednesday for its first interest rate decision of 2026. Here's what to expect.

President Trump has pressed the Federal Reserve to lower interest rates, but central bank officials are unlikely to deliver a first cut of 2026 when they announce their next policy move on Wednesday.  Edited by Alain Sherter In:

President Trump has pressed the Federal Reserve to lower interest rates, but central bank officials are unlikely to deliver a first cut of 2026 when they announce their next policy move on Wednesday. 

The Fed is expected to keep the federal funds rate — what banks charge each other for short-term loans — in its current range of 3.5% to 3.75%, according to economists polled by financial data firm FactSet. The pause would come after the Fed lowered its benchmark rate at three consecutive meetings late last year. 

The meeting also comes amid weeks of turmoil involving the Fed. The Department of Justice earlier this month opened an investigation into Fed Chair Jerome Powell related to the central bank's renovation of its historic buildings, a probe that Powell said is a pretext for weakening the Fed's independence.

The Supreme Court is also currently weighing whether to allow Fed Governor Lisa Cook to keep her job after Mr. Trump sought to fire her. 

Mr. Trump, who has assailed Powell for failing to deliver deeper rate cuts, is also soon expected to name a successor to Powell, whose term as Fed chief expires in May.