Federal Reserve
Why this is rated elevated
The FOMC raised the target range by 1/4 point to 3-3/4 to 4 percent on Sept 16, 2026 (12-0 vote), citing inflation that "remains elevated." The upper bound now stands at 4.00% and SOFR at 3.88%. The balance sheet was about $6.75T as of Sept 23. Policy is functioning normally but the stance is tightening, warranting an elevated reading.
Elevated: Some indicators are outside normal ranges or a known risk is developing. Core functions are unaffected. Methodology
What is this?
The Fed is the country's main bank. It decides how much it costs to borrow money.
How it's doing: Still working, but something is a little off.
About this area
The Federal Open Market Committee (FOMC) sets the target range for the federal funds rate and manages the Fed's balance sheet. This page tracks the policy rate, the size of the balance sheet, and what the committee has said about future moves. On September 16, 2026 the Committee raised the target range by 1/4 percentage point to 3-3/4 to 4 percent, effective September 17, and said inflation remains elevated.
Indicators
Latest readings. Changes are shown without judgment of whether up or down is better.
| Indicator | Latest |
|---|---|
Fed funds target (upper bound) Upper bound of the FOMC's target range for overnight lending between banks; raised 1/4 point to 4.00% on Sept 16, 2026. Sources: Federal Reserve Bank of St. Louis (FRED), Board of Governors of the Federal Reserve System | 4% |
Fed balance sheet Total assets held by the Federal Reserve (consolidated statement of condition), reported weekly in the H.4.1 release. Source: Board of Governors of the Federal Reserve System | $6.75T |
Secured overnight financing rate Broad measure of the cost of borrowing cash overnight collateralized by Treasury securities. Source: Federal Reserve Bank of St. Louis (FRED) | 3.88% |
Next FOMC decision Source: Board of Governors of the Federal Reserve System | Oct 28, 2026 |
Charts
Timeline of developments
H.4.1 shows total assets near $6.75T (opens original release)
The weekly balance sheet release reported total assets of $6,747,704 million as of Sept 23, 2026, with securities held outright of $6,471,088 million and reserve balances of $2,930,193 million.
Source: Board of Governors of the Federal Reserve SystemFOMC raises target range by 1/4 point to 3.75-4% (opens original release)
The Committee voted 12-0 to raise the target range for the federal funds rate to 3-3/4 to 4 percent, citing inflation that remains elevated, and said the action supports a timelier return to its 2 percent goal.
Source: Board of Governors of the Federal Reserve SystemImplementation note sets IORB at 3.90%, primary credit at 4.0% (opens original release)
Effective Sept 17, the Board raised the interest rate paid on reserve balances to 3.90% and the primary credit rate to 4.0%, with the reverse repo offering rate at 3.75% and a $160B per-counterparty daily limit.
Source: Board of Governors of the Federal Reserve System
Sources and citationsWhere this info comes from
- 1.Federal Reserve issues FOMC statement (September 16, 2026)
Board of Governors of the Federal Reserve System. Accessed Sep 28, 2026.
- 2.Implementation Note issued September 16, 2026
Board of Governors of the Federal Reserve System. Accessed Sep 28, 2026.
- 3.FOMC meeting calendars and information
Board of Governors of the Federal Reserve System. Accessed Sep 28, 2026.
- 4.H.4.1 Factors Affecting Reserve Balances
Board of Governors of the Federal Reserve System. Accessed Sep 27, 2026.
- 5.Federal Funds Target Range, Upper Limit (DFEDTARU)
Federal Reserve Bank of St. Louis (FRED). Accessed Sep 27, 2026.
- 6.Secured Overnight Financing Rate (SOFR)
Federal Reserve Bank of St. Louis (FRED). Accessed Sep 27, 2026.
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