The Federal Reserve is expected to keep interest rates unchanged at its October meeting, even as higher energy costs complicate the inflation outlook. The consumer price index rose again in September, lifting annual inflation to 3.7%, while surging oil prices tied to the U.S. war with Iran also pushed up producer prices. The Fed raised rates by 25 basis points to 3.75%–4% last month, its first hike since 2023, and fed funds futures priced less than a 10% chance of another hike this week. Heather Long of Navy Federal Credit Union said borrowing costs will stay very high for the foreseeable future, while Moody's Mark Zandi said higher long-term rates are hurting consumers more by weighing on refinancing, home buying and vehicle sales. Credit card APRs are likely to stay near current levels, while the average 30-year fixed mortgage rate is close to 7.4%, driven more by the 10-year Treasury yield near 5%.
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Related tickers and likely impact
DXY
• NeutralRelevance: low
| Market | Currencies |
|---|---|
| Close on 10/23/2026 | 101.74 |
| Change that session | +0.11% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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