Summary
The Federal Reserve made a small cut to interest rates in December 2026. The Fed plans to adjust interest rates slowly next year, depending on inflation and job market conditions. Economic forecasts suggest potential for more cuts if the economy allows.
Key Facts
- The Federal Reserve reduced interest rates by 0.25% in December 2026.
- Most Federal Open Market Committee members supported the rate cut.
- Chairman Jerome Powell noted concerns about inflation and job market risks.
- The Fed's future decisions will depend on economic conditions like inflation and employment.
- Goldman Sachs predicts the Fed will slow down its rate cuts next year.
- Experts suggest the Fed will adjust rates cautiously as economic conditions change.
- The current U.S. inflation rate is 2.7%, which is a decrease from previous months.
