World Economy

Federal Reserve to Restructure Meeting Schedule, Rate Hike Expected in December

The Federal Reserve will implement a phased approach to its policy meeting calendar, with Chairman Kevin Warsh announcing plans to conduct rate-setting votes at seven of eight meetings next year. The central bank held benchmark borrowing costs steady at its latest session while signaling continued focus on inflation containment. Market participants have priced in a greater-than-90% probability of a December rate increase, with bond traders reflecting expectations for tighter monetary policy ahead. Two officials dissented from the decision to maintain current rates, underlining internal debate over the appropriate policy stance. The Fed's revised meeting structure reflects an operational adjustment as the institution addresses persistent inflationary pressures.