Summary
The U.S. Federal Reserve decided to cut interest rates by 0.25 percentage points, placing the rate between 3.75% and 4%. This decision was influenced by concerns over a slowing job market, despite ongoing inflation worries and a partial government shutdown affecting data availability. President Trump has criticized Fed Chair Jerome Powell for not reducing rates fast enough.
Key Facts
- The U.S. Federal Reserve cut interest rates by 0.25 percentage points.
- The rate cut places the key lending rate in the range of 3.75% to 4%.
- President Trump criticized Fed Chair Jerome Powell for being slow in cutting rates.
- Two members of the Fed's committee opposed the decision.
- A slowdown in job hiring led to the decision to cut rates.
- The government shutdown has delayed the release of official job market data.
- Inflation is currently at 3% year-over-year, slightly below predictions.
- Wall Street expects another rate cut in December, with investors predicting an 80% chance of it happening.
