The Federal Reserve voted Wednesday to keep benchmark interest rates steady, despite persistent concerns over inflation. The decision holds the target range for the federal funds rate at between 3.75 percent and 4 percent, where it has been since the rate was hiked a quarter percentage point in September.

In a statement accompanying the decision, the Fed cited positive domestic spending, productivity, and capital investment trends, while conceding that “inflation remains elevated.” Two Fed members—Governor Lisa Cook and Cleveland Fed President Beth Hammack—dissented from the decision, voting instead to raise rates by a quarter percentage point. 

During a press conference about the decision Wednesday afternoon, Fed Chair Kevin Warsh sounded an upbeat note about the economy, and claimed that financial conditions had “tightened” in response to last month’s rate hike. Warsh also said the Fed would reduce the number of rate-setting meetings next year.