Reviewed
Last reviewed on 2026-03-28 for clarity and source alignment.
Indicator
Fed Funds Rate
Live indicator snapshot with context and links.
Latest value
3.64%
Source: FRED
What This Indicator Measures
The effective overnight policy rate set in the US banking system.
Fed Funds Rate is currently 3.64%. The raw number matters, but the broader takeaway comes from how it affects policy expectations, growth assumptions, and market pricing.
Readers often search for a live value without realizing the release cadence differs by series. Policy rates can stay unchanged for long stretches, CPI usually updates monthly, and exchange rates can move much more frequently. That is why the update date is shown alongside the latest reading.
Why This Matters
- Sets the baseline for borrowing costs across the economy.
- Influences risk appetite and asset valuations.
- Signals central bank stance on inflation.
How To Read This Signal
- Higher policy rates usually raise financing costs and can pressure valuations, especially in rate-sensitive assets.
- A stable policy rate can still matter if market expectations are shifting toward future cuts or hikes.
- This indicator is most useful when read next to inflation and labor data.
How To Use This Page
Use this page when you need the current reading and a plain-language explanation of what the series means. If you want broader concept coverage, open the related Explained pages. If you want a search-friendly snapshot page around the same topic, use the related Today pages from the dashboard.
Use this page to anchor your read on policy stance before judging whether stocks, bonds, or the dollar are reacting rationally to the latest macro release.