The trend since 2019.
The current read: Real Policy Rate is at 0.34% as of May 2026. Source: FRED/BEA via Indicators IQ.
Why it matters.
When real rates are this low, borrowing becomes cheaper for mortgages and business loans, which can boost your purchasing power but erodes what you earn on savings. The trajectory matters because further declines could spur inflation, while any reversal would tighten financial conditions across the economy.
Where it fits.
Real Policy Rate feeds the Inflation & the Fed view — one of the six areas behind the site's Macro IQ score.