The Fed Funds Rate increased to range of 5.25% to 5.50% effective July 27, 2023.
Fed Funds Rate
(Fed Funds Target Rate or Intended Fed Funds Rate)
Fed Funds Rate Definition
What is the Fed Funds Rate?
Commonly known as the Fed Funds Rate, the Federal Funds Rate is a short-term rate objective or “Target Rate” of the Federal Reserve Board. Also known as the Intended Federal Funds Rate, it can be expressed as a specific rate or as a range of rates. The “Actual Rate” or real rate is known as the Effective Federal Funds Rate and is the interest rate at which depository institutions actually lend balances at the Federal Reserve to other depository institutions overnight. The Actual Rate changes daily but is usually close to the Target Rate or within the range desired by the Federal Reserve. Adjustments to the Federal Funds Target Rate are made by the Federal Open Market Committee (FOMC) usually at regularly scheduled meetings; but can also be adjusted at any time with an emergency meeting. The Fed Funds Rate reported in the chart is based upon the Fed Funds Rate on the first day of each respective month.
Fed Meetings Calendar
In 2023, the Federal Reserve’s Federal Open Market Committee (FOMC) plans to hold its meetings on January 31-February 1, March 21-22, May 2-3, June 13-14, July 25-26, September 19-20, October 31-November 1, and December 12-13.
Fed Funds History
Source: Federal Reserve Board
Fed Funds Rate Complete History
(Based upon the Effective Federal Funds Rate)
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