Federal Reserve Cuts Rate Votes for First Time Since 1981

The Federal Reserve is shrinking its voting calendar for the first time in more than four decades, according to YahooStocks0. While the central bank will still hold eight scheduled meetings in 2027, one will become a strategy session featuring no rate vote and no policy statement. This marks the first cut in scheduled rate-setting meetings since the current eight-meeting cadence began in 1981.

Federal Reserve Chair Kevin Warsh announced the change on October 28, 2026. The announcement coincided with the Fed's decision to hold its target range at 3.75% to 4% in a 10-2 vote, with Governor Lisa D. Cook and Cleveland Fed President Beth M. Hammack dissenting in favor of a 25-basis-point hike.

Schedule Adjustments and Market Impact

Under the updated schedule, the Fed will hold two strategy meetings and six policy meetings in 2028. Warsh did not specify which 2027 meeting will lose its vote, and the posted calendar still lists eight meetings without designating a strategy session. Warsh noted that with fewer policy statements and votes, each remaining decision could deliver a bigger surprise as more data gathers between meetings.

The policy shift sent long bonds sliding, with the gap between 10-year and 2-year Treasury yields widening to 0.38% on October 28 from 0.29% a day earlier. The iShares 20+ Year Treasury Bond ETF (NASDAQ:TLT) fell 0.78% to $80.99, while the SPDR S&P 500 ETF Trust (NYSEARCA:SPY) slipped 0.45% after hours to $768.87.

Key facts

• The Federal Reserve is reducing its voting calendar for the first time since 1981.
• Chair Kevin Warsh announced the change on October 28, 2026.
• One of the eight scheduled 2027 meetings will become a strategy session without a rate vote.
• The Fed held its target range steady at 3.75% to 4% in a 10-2 vote on October 28.
• Prediction markets put the chance of a December rate hike at 79% as of early October 29.