The Federal Reserve held interest rates steady on Wednesday in a split decision that gave little indication of when borrowing costs might be lowered and drew dissents from two of the U.S. central bank's governors, both appointees of President Donald Trump who agree with him that monetary policy is too tight. The Federal Open Market Committee voted 9-2 to keep its benchmark overnight interest rate steady in the 4.25%-4.50% range for the fifth consecutive meeting. The policy statement did note that economic growth 'moderated in the first half of the year,' possibly bolstering the case to lower rates at a future meeting should that trend continue. But it also said that 'uncertainty about the economic outlook remains elevated.' This week's meeting marks the first time in more than 30 years that two members of the Fed's seven-person Washington-based Board of Governors, Vice Chair for Supervision Michelle Bowman and Governor Christopher Waller, voted against a rate decision at the consensus-driven central bank. Waller has been mentioned as a possible nominee to replace Fed Chair Jerome Powell when his term expires next May.

VIEW FOMC holds rates steady, but two dissenters wanted cuts

The Federal Reserve maintained its benchmark interest rate steady in a 9-2 vote, with two dissenting governors—Michelle Bowman and Christopher Waller—arguing for rate cuts. The decision followed a policy statement noting moderate economic growth and elevated uncertainty. Waller, a Trump appointee, is considered a potential nominee to replace Fed Chair Jerome Powell.