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AI Capital Wire

AI, capital and geopolitics — decoded for investors.

Finance & Markets

Federal funds target rate

What is the Federal Reserve actually charging, as opposed to what it is signalling?

3.75% upper limit

No change since 31 Aug 2026

5.50.25
Oct 2020% upper limitSept 2026

Almost every other price on this site is downstream of this one. The discount rate applied to a technology company's earnings a decade out, the cost of carrying an oil inventory, the dollar's pull on emerging-market debt — all of it moves when this line moves.

We track the target rather than the effective rate because the target is the decision. The effective rate is the market's response to it, and conflating the two makes the Fed look like it is reacting when it is acting.

How this is measured

The upper limit of the FOMC target range for the federal funds rate, as set by the Federal Reserve Board, taken at the end of each month for the past six years. The upper limit is used because the Fed sets a range, not a point.

Source: Federal Reserve Board via FRED (DFEDTARU)·Retrieved 7 Sept 2026·Updated 6 Sept 2026

All observations
Date% upper limit
6 Sept 20263.75
31 Aug 20263.75
31 Jul 20263.75
30 Jun 20263.75
31 May 20263.75
30 Apr 20263.75
31 Mar 20263.75
28 Feb 20263.75
31 Jan 20263.75
31 Dec 20253.75
30 Nov 20254
31 Oct 20254
30 Sept 20254.25
31 Aug 20254.5
31 Jul 20254.5
30 Jun 20254.5
31 May 20254.5
30 Apr 20254.5
31 Mar 20254.5
28 Feb 20254.5
31 Jan 20254.5
31 Dec 20244.5
30 Nov 20244.75
31 Oct 20245
30 Sept 20245
31 Aug 20245.5
31 Jul 20245.5
30 Jun 20245.5
31 May 20245.5
30 Apr 20245.5
31 Mar 20245.5
29 Feb 20245.5
31 Jan 20245.5
31 Dec 20235.5
30 Nov 20235.5
31 Oct 20235.5
30 Sept 20235.5
31 Aug 20235.5
31 Jul 20235.5
30 Jun 20235.25
31 May 20235.25
30 Apr 20235
31 Mar 20235
28 Feb 20234.75
31 Jan 20234.5
31 Dec 20224.5
30 Nov 20224
31 Oct 20223.25
30 Sept 20223.25
31 Aug 20222.5
31 Jul 20222.5
30 Jun 20221.75
31 May 20221
30 Apr 20220.5
31 Mar 20220.5
28 Feb 20220.25
31 Jan 20220.25
31 Dec 20210.25
30 Nov 20210.25
31 Oct 20210.25
30 Sept 20210.25
31 Aug 20210.25
31 Jul 20210.25
30 Jun 20210.25
31 May 20210.25
30 Apr 20210.25
31 Mar 20210.25
28 Feb 20210.25
31 Jan 20210.25
31 Dec 20200.25
30 Nov 20200.25
31 Oct 20200.25