Interest rates are likely to edge lower in 2026 as the Fed weighs inflation, jobs and political pressure. See what forecasts suggest for the year ahead.

In modern financial markets, interest rates often move long before central banks act. Over the past week, one of the most discussed and searched

Federal Reserve governor Stephen Miran said the U.S. economy is "calling for large interest rate cuts" and warned that current monetary policy is "holding the economy back" by keeping borrowing costs too high and pushing the unemployment rate upward.

Fixed income markets project that the Fed will hold interest rates steady at the first scheduled meeting of 2026.

Further changes to the Federal Reserve's short-term interest rate will need to be "finely tuned" to incoming data given the risks to both the U.S. central bank's employment and inflation goals, Richmond Fed President Thomas Barkin said on Tuesday.

Mortgage rates saw significant improvements in 2025, but will that continue this month? Here's what to know now.

As of Jan. 7, 2026, the average home equity loan rate is 7.97%, according to Bankrate’s regular survey of rates. The average range is between 5.49% and 10.75%. Home equity loan interest rates also vary according to term length: