Fed Press Release: Discount Rate Minutes Show No Push to Move

The news: In an April 14, 2026 Fed press release, the Board of Governors published minutes from its discount rate meetings of February 9 and March 18. At both meetings, all twelve Reserve Banks asked to keep the primary credit rate unchanged, and the Board approved holding it at 3.75 percent. The minutes record that no Board member expressed interest in changing the rate.

Why it matters: The primary credit rate is what banks pay to borrow overnight from the Fed’s discount window. It is set at the top of the federal funds rate target range, which stood at 3.50 to 3.75 percent. Reserve Bank requests to change it are an early, if indirect, read on how the regional banks’ boards of directors see the policy outlook. Twelve requests to hold, twice in a row, show no regional pressure for a move in either direction at that stage.

By the numbers:

• 3.75%: primary credit rate approved at both meetings
• 12 of 12: Reserve Banks requesting no change in February and again in March
• 9 banks voted on January 29 for the February meeting; Richmond, Atlanta and Dallas followed on February 5
• 10 banks voted on March 5 for the March meeting; Richmond and Atlanta followed on March 12

The big picture: The March minutes carried the more useful commentary. Directors described stable economic conditions and cautious optimism despite uncertainty. They saw labor markets marked by limited hiring, low turnover and modest wage growth, with hiring difficulties in specialized fields. Businesses were investing steadily in technology and artificial intelligence, though directors said AI’s effect on employment had so far been limited. On costs, directors pointed to rising non-labor expenses such as health care and energy, even as tariff pressures had moderated. The mention of energy costs is the thread to follow, since it was the one cost pressure directors singled out that could feed directly into broader inflation.

What’s next: The discount rate minutes are released on a lag, so the next set will cover the meetings around the April 28-29 FOMC decision. A sign of changing sentiment would be any Reserve Bank requesting a different rate, especially a higher one, which would suggest regional directors see inflation risks building faster than the policy range reflects. Watch also whether directors’ commentary on energy and non-labor costs grows more prominent.