Economists agree: Fed to leave interest rates unchanged this year – Reuters poll

A large majority of economists expect the Federal Reserve (Fed) to keep interest rates unchanged in September and for the rest of this year, according to a Reuters poll conducted between August 12 and 17.

The poll showed that 94 of 104 economists expect the Fed to leave its benchmark rate unchanged at 3.50%-3.75% at the September 15-16 meeting, broadly in line with last month’s survey. Nearly 80% of respondents, or 80 economists, forecast no change in interest rates through the end of the year.

Poll medians also suggest that rates will remain at current levels through the end of 2027.

Economists expect Personal Consumption Expenditures (PCE) inflation to average 3.5% this year, unchanged from last month’s forecast. Inflation is expected to stay above the Fed’s 2% target until at least 2028, according to the poll medians.